In contrast to traditional private equity, we structure the growth capital investment as a tailor-made loan. The loans are flexible on terms and repayment schedules, and they take into account the cash flow needs of the company during the projected high-growth period. We allow the company to mature and generate a strong free cash flow base before starting the repayment phase.
Our loans are at competitive interest rates, and we seek to generate the majority of our return based on the success of the company, not at its expense. To that end, we believe in aligning interests and creating mutually beneficial partnerships.
During the investment period, Alloy’s support goes beyond the typical areas of corporate governance and institutionalization. When needed, Alloy also helps companies improve data analytics and financial reporting, recruit key staff, and obtain additional types of working capital financing.