Conventional wisdom holds that small to medium-sized companies thrive and fail uniquely according to laws of cash flow: cash in the bank coupled with predictable revenue streams and tempered, judicious operating spending yield sustainable enterprises. Failure to properly manage these variables can lead to rapid decline.

While this approach to cash flow assures the maintenance and gradual growth of an existing operation, it is not geared to give entrepreneurs the flexibility to react quickly to new business opportunities. The best opportunities have a short life span as competitors move quickly to leverage their finances and convert potential advantage into business reality.

Getting Leverage
In fast moving plays linked to expansion, access to liquidity is crucial to making a winning offer and closing a deal. SMEs that operate according to strict cash flow management principles often deny themselves of finance mechanisms that make it possible to maximize their overall financial position to realize future value, revenue and competitive edge.

Over time, the inability of a firm to quickly mobilise its resources and take advantage of opportunities can prove to be highly detrimental as better geared competitors seize and capitalize on the moment.

LG10 provides established entrepreneurs with a suite of structured finance analyses and strategies that pre-position their firms within LG10's senior contacts in the financial community. When the right opportunity presents itself, LG10 works with the firm and its financial partners to bring the financial leverage process to successful closure.

LG10 typically provides structured finance services along the dimensions of:

• Collateralized Loans that leverage fixed assets, cash and securities
• Lease Back arrangements that convert capital fixed assets into leases
• Factoring of future revenue streams from an established customer base
• Creation of New Entities involving share sales and swaps

Structured finance solutions and strategies are tailored to the profiles of clients according to size, industry and medium to long-term strategy.