The right investors can propel a company to new levels
Growth and Exit
Sell some or sell it all. Established companies have choices
A loan is often a great option to fund growth
Performance Guarantee Insurance
For borrowers and lenders, for investors and the companies they invest in, Performance Guarantee Insurance (“PGI”) provides a level of assurance that everyone needs now to reduce performance risk and provide
Peace of Mind In Uncertain Times.
Critical Mission Consulting, LLC is proud to offer Performance Guarantee Insurance,backed by investment grade insurers, to insure a loan will fully perform or a private equity investment’s downside will be protected.
Our PGI Program
improves credit worthiness
stabilizes projected revenue streams
unlocks more cost-efficient financing (i.e. debt repayment, revenue shortfall and commissioning coverage)
provides balance sheet protection
offers a flexible insurance structure to attract lenders and investor
offers coverage is provided by a AA-rated international insurance carrier
Who Can Benefit From PGI?
Companies seeking to raise from $5MM -$500MM
Debt and/or Equity Financing using new and/or unproven technology
Private equity firms seeking to insure financial results across a portfolio of companies
Lenders seeking to mitigate downside risks associated with potential poor financial performance for existing and future loan portfolios
A startup with a brilliant business idea is aiming to get its operations up and running. From humble beginnings, the company proves the worthiness of its model and products, steadily growing thanks to the generosity of friends, family and the founders' own financial resources. Over time, its customer base begins to grow, and the business begins to expand its operations and its aims. Before long, the company has risen through the ranks of its competitors to become highly valued, opening the possibilities for future expansion to include new offices, employees and even an initial public offering (IPO).
We provide a broad spectrum of capital advisory services that help you create and act upon opportunities for Start-Up Funding, Series A & B Funding, Series C Funding and Debt Financing. With our regular dialogue with an extensive network of investors and lenders we help our clients stay in touch with changing capital market conditions and be prepared to capitalize on the emergent opportunities.
With our regular dialogue covering an extensive network of investors and lenders, we help our clients stay in touch with changing capital market conditions and be prepared to capitalize on emergent opportunities.
Pre-seed funding starts when a company's founders are first getting their operations off the ground. The most common "pre-seed" investors are the founders themselves, as well as close friends, supporters and family.
We help start-up companies prepare their business plans, financial projections, operating budgets and investor information materials. Additionally, we help design and build the operating systems necessary for companies to start operations, attract and retain key personnel and begin proving their concept is sustainable and profitable.
Seed funding is the first official equity funding stage and typically ranges from $10,000 up to $2 million for the start up of a new company. It typically represents the first official money that a business venture or enterprise raises in exchange for equity in the company. This early financial support is ideally the "seed" which will help to grow the business. Given enough revenue and a successful business strategy, as well as the perseverance and dedication of investors, the company will hopefully eventually grow into a "tree." Seed funding helps a company to finance its first steps, such as market research and product development. With seed funding, a company has assistance in determining what its final products will be and who its target demographic is. Seed funding is used to employ a founding team to complete these tasks.
We have an extensive network of incubators, angel investors, venture capital companies and more. One of the most common types of investors participating in seed funding is an "angel investor." We prepare your investor materials, act as the lead pitch person to the investors, prepare the valuation of the company, and guide you through the legal process.
Early Stage Series A and B, Growth
Once a business has developed a track record (an established user base, consistent revenue figures or some other key performance indicator), the company may opt for Series A funding in order to further optimize its user base and product offerings. Opportunities may be taken to scale the product across different markets.
Series A investors are not just looking for great ideas. Rather, they are looking for companies with great ideas as well as a strong strategy for turning that idea into a successful, money-making business that can scale up and generate long-term profit .
It is increasingly common for companies to use equity crowdfunding in order to generate capital as part of a Series A funding round. Part of the reason for this is the reality that many companies, even those which have successfully generated seed funding, tend to fail to develop interest among investors as part of a Series A funding effort. Indeed, fewer than half of seed-funded companies will go on to raise Series A funds as well.
We will introduce your company to our extensive network of Series A investors that come from traditional venture capital firms. We will help design your crowdfunding campaign with eye catching graphics and rich content that will stand out in the crowd. Series A rounds raise approximately $2 million to $15 million with an average of $12.5 million. It's common for companies going through Series A funding rounds to be valued at up to $22 million.
Series B rounds are all about taking businesses to the next level, past the development stage. Series B investors help startups get there by expanding market reach after a company already develops a substantial user base and has proven to investors that they are prepared for success on a larger scale. Series B funding is used to grow the company by expanding its business development, sales, advertising, tech, support and employee count.
The average estimated capital raised in a Series B round is $32 million. Companies undergoing a Series B funding round are well-established, and their valuations tend to reflect that; most Series B companies have valuations between $30 million and $60 million, with an average of $58 million.
We prepare your company and introduce you to many of the same investors from the Series A round with a focus on securing a key anchor venture capital firm that specialize in later-stage investing and helps to draw in other investors.
Growth and Exit Series C Funding Merger, Acquisition, IPO
Businesses that make it to Series C funding are already quite successful. These companies look for additional funding to help them develop new products, expand into new markets, acquire other companies or go public.
Series C investors inject capital into already successful businesses, with the expectation of receiving more than double that amount back. Series C funding is focused on scaling the company, growing as quickly and as successfully as possible.
Sometimes the best possible way to scale a company is to acquire another company. Series C funding could be used to buy another company.
As the operation gets less risky, more investors come into play. Our Series C investor resources include hedge funds, investment banks, private equity firms, and large secondary markets. These investors come to the table expecting to invest significant sums of money into companies that are already thriving as a means of helping to secure their own position as business leaders.
Most commonly, a company will end its external equity funding with Series C. However, some companies can go on to Series D and even Series E rounds of funding as well. For the most part, though, companies gaining up to hundreds of millions of dollars in funding through Series C rounds are prepared to continue to develop on a global scale. Many of these companies utilize Series C funding to help boost their valuation in anticipation of an IPO.
At this point, companies enjoy valuations in the area of $115 million, although some companies going through Series C funding may have valuations much higher. These valuations are also founded increasingly on hard data rather than on expectations for future success. Companies engaging in Series C funding should have established, strong customer bases, revenue streams, and proven histories of growth.
Companies that do continue with Series D funding tend to either do so because they are in search of a final push before an IPO or, alternatively, because they have not yet been able to achieve the goals they set out to accomplish during Series C funding.
We prepare companies for the rigors of private equity investment, targeted acquisitions or their final push before an IPO.
Debt Financing SBA, Banks and Private Lenders
The financing you need to launch, maintain or grow your business can come from a variety of sources, including small business loans from traditional banks and online alternative lenders.
The cheapest source of debt financing for your business is going to be a traditional bank loan or line of credit. If you can get a loan from a bank, you should always go that route. That being said, banks are currently denying around 85% of small business loan applications, leaving few with this option.
SBA, U.S. Small Business Association loans are another product where you can find single digit interest rates. A bank loan at its core, an SBA loan differs in that a portion of the loan is guaranteed by the SBA, eliminating some risk for the lender and allowing more businesses to qualify. Here’s a quick cheat sheet (Hyperlink to SBA Guide) on their various programs. SBA loans also tend to have lengthy applications, but there are a few organizations that make it possible to apply for an SBA loan online, which can make the application faster and more accessible than with a bank loan.
Alternative “non-bank” lending is on the rise, helping fill the void left by the banks. We have a solid pool of alternative lenders to introduce you to, including accounts receivable lenders and short-term lenders. Alternative loans are higher-priced than bank loans, and in some cases, can be extremely costly. If you need to get funds into your business quickly, they are great option, but make sure you understand the price of the loan before committing.
Asset Based Loans
Asset Based Lending refers to a business loan secured by using a company’s assets as collateral. This allows a company to immediately access the working capital available in its assets, such as Accounts Receivable, Equipment and Inventory. Asset Based loans can be structured as revolving credit facilities, allowing a company to borrow from assets on an ongoing basis to cover expenses or investments as needed.
To help you find the right lender, we'll help you navigate the available lending sources, determine the best fit, and walk you through the steps you can take to increase your chances of getting a business loan.
Contact us for a callback or video conference.
Our resources for capital are constantly being updated. Let's figure out what you need and introduce you to the resource to fund your success.