Equity-Backed Funding
Equity-backed funding for large shareholders and listed companies. Funding from $1 million to $100 million with competitive annual fees, non-recourse, no personal or corporate guarantees required.
How We Can Help
Key Features
- $1M to $100M funding capacity
- Non-recourse structures available, subject to eligibility and facility terms
- No personal or corporate guarantees required, subject to underwriting
- Multi-currency funding options (USD, EUR, local currencies)
- Global deposit flexibility to any qualified jurisdiction
- Professional discretion throughout the engagement
- 3-year average terms with flexible structures
- Competitive annual fees
- Standard structures do not impose predetermined capital usage requirements
- Specialized Asia cross-border expertise
- Fast, discreet processing
- Decade+ track record with UHNW families
- Individual risk assessment and structuring
Comprehensive Equity Financing & Stock-Based Funding Solutions
Squadron Capital's primary service is equity-backed funding for publicly traded securities, providing sophisticated capital solutions for Asia's most successful individuals and families.
Funding ranges from $1 million to $100 million, featuring 2-5 year average term, competitive annual fees, and an industry-standard origination structure. Subject to eligibility, underwriting and the terms of the definitive facility agreement, structures are available on a non-recourse basis with no personal or corporate guarantees required. Capital is deployed in the recipient's preferred currency and jurisdiction, handled with professional discretion throughout.
Key Benefits of Our Funding Solutions
- Access capital while retaining equity upside
- Non-recourse structures available, subject to eligibility and facility terms
- Deploy capital in preferred currency and jurisdiction, subject to facility terms
- Professional discretion throughout the process
- Navigate complex Asian regulatory requirements seamlessly
- Standard structures without predetermined capital usage requirements
- Fast execution for time-sensitive opportunities
Our Funding Process
Confidential initial consultation to assess funding requirements
Comprehensive evaluation of equity position (stock)
Custom structuring of funding solution with preferred terms
Discreet due diligence and documentation preparation
Funding execution with ongoing confidential relationship management
Frequently Asked Questions About Equity-Backed Funding
Non-recourse equity financing is a funding arrangement based on the value of a listed stock, whereby the shareholder receives capital equal to a percentage of the stock's market value at a fixed cost for the term of the facility. At maturity, the funding can be settled in full or refinanced (provided no default has occurred) and the shareholder receives back the same number of shares. Alternatively, if the stock price has fallen below the agreed advance amount, the shareholder can simply walk away without any further obligation or recourse to other assets.
The capitalization to value funding ratio, which is the percentage of funds advanced for the equity position, varies depending on the intrinsic quality of the securities. Ratios are calculated based on evaluation of the potential risk and future performance associated with the securities. Each transaction is evaluated on a case-by-case basis.
Stocks must be freely traded securities. Funding cannot be arranged for restricted stock.
Funding arrangements vary from market to market based on standard industry practices and regulatory requirements. Squadron Capital deploys capital directly to the shareholder.
Liquidity is relative to the size of the block of stock. Generally speaking, the funding will be divided into several tranches, each tranche not to exceed 3-10 days average trading volume.
There are no hidden costs such as application fees, appraisal fees, or any other upfront costs. In the event that a broker or middleman is involved, any fees due can be paid at the time of funding from the proceeds.
The minimum funding amount is USD 500,000 and the maximum is USD 100 million.
Transactions can close in 5-10 days depending on the speed at which the shareholder processes the paperwork.
Pricing varies based on market conditions, liquidity and risk factors. Terms are structured based on the specifics of each transaction.
Squadron Capital provides equity-backed funding across all major global exchanges. If you do not see your market on our list, please contact us for more information.
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