Capital Raising
Strategic capital raising enables businesses to unlock growth potential, accelerate expansion, drive innovation, and seize new market opportunities.
Caldera Capital specialises in helping clients navigate this complex process to achieve the best transaction outcomes possible, followed by providing ongoing support to ensure the business is on track for its next strategic move.
Strategic capital raising for ambitious businesses
Ambitious businesses often encounter critical moments where strategic capital raising can make the difference between maintaining the status quo and unlocking transformative growth.
Caldera Capital understands that each business faces unique challenges and opportunities, and we specialise in helping our clients navigate the complexities of capital raising to achieve their specific growth objectives.
Comprehensive execution across capital raising transactions
Caldera Capital specialises in providing end-to-end execution support across a wide range of capital raising transactions, ensuring our clients secure the optimal financing solution for their unique growth objectives. Our deep expertise spans the full spectrum of equity and debt transactions, as well as strategic partnerships and mergers & acquisitions.
Traditional equity raising
Secure growth capital through strategic equity raises from institutional, corporate, and private investors.
Private equity partnerships
Partner with private equity firms to access growth capital, operational expertise, and strategic support.
Strategic equity investments
Secure funding from strategic partners to gain industry expertise, strategic insights, and accelerate growth.
Structured equity solutions
Tailor equity investments with unique terms and conditions to align with specific business objectives and timelines.
Venture capital equity funding
Partner with venture capital firms to secure funding for early-stage and high-growth companies.
Venture debt financing
Obtain non-dilutive debt capital to fuel growth while minimising equity dilution.
Revenue-based financing
Raise capital based on future revenue projections, aligning repayment with growth.
Pre-IPO funding options
Optimise the capital structure and position the company for a successful public offering.
Mezzanine financing
Secure flexible, hybrid debt and equity capital to fund expansion or acquisitions.
Asset-based lending
Secure funding backed by company assets or new plant and equipment investments.
Debt refinancing
Optimise existing debt structures to improve terms, reduce costs, or extend maturities.
Bridge financing
Secure short-term funding to bridge between larger financing rounds or transactions.
Navigating the complex landscape of capital raising
Achieving the best possible outcome in a capital raising transaction requires thoughtful planning, strategic positioning, and expert execution. Several key factors can significantly influence the success of your capital raise, including timing, company preparation, investor targeting, deal structure, and due diligence.
These key considerations serve as levers that can significantly impact the outcome of a capital raising transaction. The importance of each factor will vary based on the unique circumstances and objectives of each business.
- Receptivity of the market to the transaction narrative at the chosen time.
- Alignment of industry trends, business momentum, and fundraising.
- Impact of macroeconomic factors and geopolitical risks on investor appetite.
- Coordination of capital raise with strategic business initiatives and milestones.
- Potential for further business positioning to capitalise on favourable market conditions.
- Potential for short-term initiatives that could impact the transaction outcome.
- Readiness of the business for investor scrutiny and market conditions scenario testing.
- Consideration of the regulatory environment and any potential changes that could impact the business or the transaction.
- Importance of having a well-defined contingency plan to address potential changes in market conditions or investor sentiment during the transaction process.
- Strength and credibility of the narrative and investment and/or lending thesis.
- Completeness in presenting the business's full potential to targeted investors, including:
- Highlighting the key strengths of the business in a coherent way.
- Comprehensive mapping of growth opportunities across products, services, markets, and geographies.
- Clear articulation of the company's long-term vision and the strategic initiatives required to achieve it.
- Identification of potential value creation levers, such as operational improvements, technology adoption, or strategic partnerships.
- Demonstration of the management team's ability to execute the business strategy and adapt to changing market conditions—or if it will be augmented with new hires.
- Scalability of the business model and its potential for long-term growth.
- Consistency of financial performance and narrative with the transaction approach.
- Framing of the competitive landscape and the business's positioning within the market.
- Alignment of the narrative with the company's target markets and customer segments.
- Potential for strategic partnerships or synergies to enhance the equity story.
- Ability to articulate the transaction narrative's key highlights while addressing the specific focus areas of various investor groups, such as financial investors (PE, VC, family offices, HNWIs, ...), strategic investors, debt investors, and impact investors.
- Clear articulation of the exit strategy and/or potential pathways for parties to realise their target return.
- Robustness and reliability of financial projections.
- Historical financial performance and how it supports the projected growth trajectory.
- Alignment of financial assumptions with overall business strategy.
- Assessment of various transaction options and determining the most strategic path forward, possibly by leveraging multiple approaches simultaneously.
- Suitability of the proposed transaction structure and process for the business.
- Clarity and feasibility of the use of proceeds and investment rationale.
- Representation of future growth initiatives and their impact on financials.
- Modelling of potential upsides and downsides in financial projections.
- Clarity and robustness of the cash flow management strategy to maintain sufficient liquidity and manage potential risks.
- Importance of having a clear and compelling valuation narrative that justifies the proposed transaction terms and aligns with the company's growth potential and market positioning.
- Definition of key performance indicators (KPIs) and the plan for tracking and reporting them to investors.
- Clarity and soundness of the use of funds strategy to prioritise investments and manage financial resources for long-term growth and value creation.
- Fit between targeted investors and the company's business and growth strategy.
- Understanding of the investment preferences, criteria, and portfolio composition of targeted investors.
- Diversity and value-add potential of the investor base, including the potential for strategic partnerships and synergies.
- Customisation of the investment proposition for different investor segments, highlighting the key aspects that align with their specific investment focus and criteria.
- Alignment of the pitch and investment pro position with the specific transaction type (e.g., equity, debt, or hybrid) and the targeted investor group.
- Alignment of investor expectations with the company's growth strategy and timeline.
- Suitability of targeted investors for current and future funding rounds.
- Alignment and motivation of the team and management to support the capital raising process, including clear communication of the benefits, roles, and responsibilities associated with the transaction.
- Design and continuity of presence in investor communications and interactions.
- Plan for ongoing investor relations and communication to keep investors informed and engaged, including the identification and nurturing of potential investors and/or lenders for future funding rounds.
- Ability to anticipate and address potential investor concerns or objections.
- Preparedness for a rigorous investor due diligence process, including the ability to provide clear, accurate, and timely responses to investor queries and requests for additional information.
- Availability of a professional data room to securely manage data exchanges, maintain data integrity, and ensure smooth Q&A interactions throughout the due diligence process.
- Identification and mitigation of potential red flags or deal breakers.
- Negotiation of favourable deal terms, valuation, and structures.
- Alignment of the deal structure with the company's growth strategy and exit objectives.
- Engagement of experienced advisors (legal and accounting) with relevant industry expertise and a track record of successful transactions to support the due diligence and deal execution process, or brief the current advisor in preparation.
- Importance of aligning internal and external teams around the capital raising strategy.
- Ability to maintain confidentiality and manage sensitive information throughout the due diligence and deal execution process.
- Clear and efficient internal decision-making process to facilitate timely and effective deal execution.
- Importance of having a well-defined communication protocol to ensure timely and effective information flow between the company, advisors, and potential investors during the due diligence process.
- Alignment on the fact that closing a capital raising transaction is just the first step.
- Alignment of the business and resources to execute the growth strategy, along with the agreed-upon use of funds.
- Establishment of clear performance milestones and metrics to track progress and demonstrate value creation to investors post-transaction.
- Effectiveness of communication and reporting to investors post-transaction.
- Strength of ongoing investor relationships and stakeholder communication.
- Strategic planning for future growth, exit opportunities, and liquidity options.
- Continuity of company culture and values through the growth journey, including maintaining a strong and motivated team post-transaction.
- Ability to adapt and refine the strategy based on market dynamics and investor feedback post-transaction.
- Importance of having a robust risk management framework to identify, assess, and mitigate potential risks that may arise post-transaction.
- Robust corporate governance structure to ensure transparency, accountability, and effective decision-making post-transaction.
A continuous, evolving partnership
When approaching a significant transaction, the balance between speed and precision is crucial. Acting swiftly while maintaining a strategic approach enhances the likelihood of securing optimal terms, successful outcomes, and sustained success post-deal.
Strategy and planning
Develop a comprehensive strategy that aligns business objectives, stakeholders’ interests, and market opportunities, ensuring a clear path to success. This stage involves a careful assessment of market conditions, financial strategy, and target identification and analysis to set the foundation for a successful transaction.
Key considerations mentioned earlier are just a few of the many variables and levers our team evaluates during this phase.
Additionally, we identify “low-hanging fruits” and other strategic initiatives to maximise deal value and completion probability before going to market. (For detailed insights, read more here).
Time Estimate: on average 1 - 12 weeks
Business and deal preparation
Prepare the business for the transaction process by refining financials, crafting a compelling business case, and ensuring readiness for external scrutiny. This phase involves a meticulous understanding of every aspect of the business, identifying opportunities for improvement, and creating a robust information memorandum.
Key considerations mentioned earlier are just a few of the many variables and levers our team evaluates during this phase.
We take preparation to the next level by meticulously understanding every aspect of the business, identifying opportunities for improvement, and crafting a compelling information memorandum. (For detailed insights, read more here).
Time Estimate: on average 2 - 12 weeks
Going to market
Launch a targeted outreach campaign, leveraging our network and engaging with potential parties who align with the transaction thesis. Manage communications, addressing concerns and feedback while maintaining momentum. Further, we adapt the approach as needed based on market conditions and feedback.
Key considerations mentioned earlier are just a few of the many variables and levers our team evaluates during this phase.
We leave no stone unturned by meticulously mapping out the universe of potential targets and counterparties, and leveraging our extensive networks for relentless outreach. (For detailed insights, read more here).
Time Estimate: on average 2 - 24 weeks - dependent on market feedback
Transaction execution
Execute the transaction with diligence, facilitating a smooth due diligence process, structuring the deal, and negotiating favourable deal terms. Coordinate legal, financial, and regulatory aspects of the deal, ensuring alignment among all stakeholders. Plan for post-transaction integration and value creation initiatives to hit the ground running.
Key considerations mentioned earlier are just a few of the many variables and levers our team evaluates during this phase.
We apply global investment banking rigour combined with a hands-on boutique approach to ensure meticulous attention to detail and optimal transaction outcomes. (More details here).
Time Estimate: on average 2 - 14 weeks
Maintain and grow
When applicable, provide ongoing support to ensure seamless integration and sustained success. Continuously identify new opportunities for the next phase. Implement effective post-transaction integration plans to realise the full potential of the transaction while keeping doors open for future opportunities.
In partnership with management, we continue to reflect on performance and proactively identify new growth opportunities to drive continued success.
Time Estimate: Ongoing
Bespoke engagement approach
Our team understands that each business is unique, with their own set of challenges, goals, and opportunities. The firm's bespoke engagement approach, led by experienced directors, is meticulously structured to deliver high-value solutions that address the specific needs of each business we work with.
Prepare and execute a specific deal
We ensure optimised deal preparation and expert execution, guiding our clients to the best possible outcomes.
Year-round advice and deal execution
Working hand-in-hand year round, from strategy to planning and executing the optimal deal at the right timing.
Strategic growth advisory and execution
Ongoing support in crafting and implementing comprehensive strategies for sustainable, long-term growth.
Advisory board guidance without execution
Ongoing strategic advice and support as a trusted advisory partner, without direct involvement in deal execution.
We're here to help
At Caldera Capital, we respect and value every enquiry we receive. We will do our best to assist you or, at the very least, guide you in the right direction.
