Private equity capital (also called Venture Capital) is typically provided by professional, or institutionally backed investors to businesses. It normally takes the form of cash made in exchange for shares in the investee company.
Whilst the PE houses operate in a similar way to private investors, they will only consider larger sized investments. Private equity houses are usually inundated with enquiries and tend to take a long time to conclude their transactions. There are, however, a handful of funds that will seriously consider recovery or turnaround investments and can act quickly, although again it should be stressed that these funds principally exist for larger SME transactions normally requiring £1 million upwards.
There are specialist funds for social investment, green technologies and medical to give three examples.
B&Y has excellent contacts throughout the private equity market place and can usually open doors that may otherwise be closed with a direct approach.