Why use a Royalty-Based Investment rather than a Traditional Loan or Equity Investor ?
There are many benefits to using a Royalty-Based Investment rather than traditional funding solutions.
Royalty-Based Investments offer business owners a flexible method of attaining capital. This method of financing ensures that the business owner remains in control, and avoids equity dilution, as the investor does not have a vote or ability to influence management decisions.
The investor does not need to conduct company valuation, and his interest is always aligned with that of the business and its growth revenue. This is because there is no fixed payment like in a bank loan, as the repayments are made as a portion of the business’ revenues, such that the higher the revenue, the quicker the investor will get his returns.
As the investor does not actually buy shares, or enter into a loan agreement with the company, there are no legal and closing costs, and no personal guarantee.
Unlike bank loans or equity investments, the amount of paperwork is limited, and funds are usually transferred within 24 hours.
So why not apply now ?