Mezzanine Funding Meaning Need and Types

17/02/2022 Financial & Legal Services

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Description

Mezzanine funding can either be defined as a portion of the savings given by private equity, and taking further loans from multiple investors to provide funds for the purchase; or it can be categorized as private equity that come from company’s own savings and then they further take debt from the company itself to arrange the funding. Hence, in this type of funding there is a risk factor, which is much higher and the expectation of benefits is also high.

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