Raising Finance for an Exclusive Motorsport, Hospitality & Events Management Business.
Motorsports Events. Capital Injection
The board of directors of a group of companies brought in ReSolve for advice on raising finance. Their group of companies were operating as an exclusive hospitality and events management business specialising in the creation of bespoke, unique experiences at motorsport events around the world.
The management team had a passion for motorsport holding over 30 years’ experience and knowledge of the industry. The group was looking to raise finance to both meet its short term working capital requirements and to finance the acquisition of an identified competitor.
ReSolve discussed the group’s current options and its vision for an ideal investment partner, in order to determine which parties should be introduced and also reviewed the group’s financials to provide advice on its short term cash flow difficulties, hence buying time to find an investor.
ReSolve understood the important balance of introducing an investor quickly for the group and appreciating its longer term goal of finding an appropriate long term investment partner who shared an interest in motorsport.
Following a selective marketing campaign in January 2014, several parties expressed a serious interest in investing in the Group. The team at ReSolve assisted in setting up and attending several meetings with potential investors which ranged from the individual investor to those of large public companies.
The group agreed terms with an investor and successfully restructured its liabilities allowing it to continue to grow and develop further. Importantly, it was able to avoid administration which otherwise would have been a likely outcome.
The group continued trading successfully for over two full motor racing seasons but unfortunately could not continue the momentum and went into liquidation November 2015.