Mezzanine capital for medium-sized companies



by the lawyer
Dr. jur. Horst S. Werner

Göttingen 
4nd edition 2006
38 pages 
35,-€






In view of the changing financing conditions, the supply of medium-sized enterprises with fresh capital is becoming more and more difficult.

In the future, banks will only grant credits if a company is financial stable and worthy of credit.

In this sense, the equity ratio is a decisive indicator which determines the ability of a company to receive funds. The higher the equity ratio, the higher the creditworthiness and rating and the more leeways a company has for additional debt.

In a comprehensible and concise manner, this guide informs the reader about alternative financing for medium-sized enterprises with so-called mezzanine capital.

Mezzanine capital strengthens the equity ratio of a company without the entrepreneur having to give up his voting or influential powers.

The guide describes the diferent ways of mezzanine financing as well as the effects on the balance sheet. Furthermore it explains the advantages of mezzanine financing as well as the possibilities of funding.

The lawyers have been working in the field of company law as well as capital raising by means of private placements for several years.