Growth Financing
The Economic Conditions and Financing of Growth as a Single Entity
As a company prepares for its next phase of growth, management must assess what the targeted growth will require of the company financially, how much investment in growth the company’s finances can support, and how the growth should be financed.
In the Growth Financing service, we integrate growth targets, financial modeling, cash flow, financing needs, and risk-bearing capacity into a single, comprehensive framework. This enables management to make well-informed decisions regarding growth and its financing.
Who is this service intended for?
Growth Financing is intended for small and medium-sized enterprises that are preparing for their next phase of growth or wish to strengthen the financial foundation and funding prospects of their ongoing growth.
This service is particularly well-suited for situations where:
The company is preparing for growth, which will require significant investments and planning for their financing
Revenue is growing, but profitability or cash flow is not developing as expected
Growth decisions are made without sufficient insight into their economic impacts
The need for funding has been identified, but its amount, timing, or role is not yet clear
Management must assess the extent of growth investment that the company's financial position and risk-bearing capacity allow
Financing Growth as Part of the Growth Decision
The financing needs for growth cannot be assessed in isolation from the targeted growth. New investments affect cash flow, profitability, financing needs, and the company’s ability to bear the risks associated with growth. Therefore, financing is considered as part of the growth decision, not as a separate solution.
How is Growth Financing progressing?
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Together, we clarify growth targets and develop a comprehensive picture of what the company’s desired growth will require financially. At the same time, we assess the role of financing as part of the next phase of growth.
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We model the impact of growth decisions on cash flow, profitability, and financing needs, and we analyze the financial risks associated with the various options.
This gives management insight into:
How much capital is required to achieve the planned growth?
When does the need for financing arise?
How do different growth scenarios affect cash flow and profitability?
what kinds of financial risks are associated with the various options.
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Once the economic impact of growth and the financing needs are clear, we identify financing options that are suitable for the company’s situation and planned growth. We examine public financing, bank financing, equity financing, and investors, and assess which solution or combination of options will best support the planned growth.
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If necessary, we assist in preparing the financing application and coach company management on how to conduct discussions with investors. This enables management to present the growth plan, its financial rationale, and the financing needs to investors in a clear and credible manner.
What will your company be left with after we've finished our work?
An Economically Sound Path to Growth
Growth targets, their economic prerequisites, and the financing of growth form a clear framework to support decisions regarding the next phase of growth.
Insight into the Financial Impact of Growth
Understanding how planned growth affects cash flow, profitability, financing needs, and risk-bearing capacity.
Basis for Financing Decisions
An assessment of how much and when financing is needed, as well as what financing options support the planned growth.
Readiness for discussions with investors
The ability to present a growth plan, its financial rationale, and funding needs to investors in a clear and credible manner.
Flexible Business Financing to Support Growth
Growth and investments often require external financing. Corporate financing from our partner, Fundu, can be one option for financing your company’s growth—either as a standalone solution or as part of a broader financing package.
Why Törnberg Partners?
Growth Decisions from an Economic and Investor Perspective
The issue of financing growth cannot be resolved by looking at financing alone. That is why, at KasvunRahoitus, we combine business development, strategic financial management, growth financing, and risk management into a single, integrated framework.
We examine the growth plan from the perspectives of both management and investors. Financial modeling and cash flow visibility help assess the impacts of growth in advance, and risk management reveals the level of growth investment the company can sustain.
We have over 20 years of experience in financial management and auditing, as well as extensive experience in business development. This combination of expertise enables us to examine growth from the perspectives of business operations, finance, funding, and risk all at once.
Shall we discuss your company's next phase of growth?
Schedule a free 30-minute exploratory meeting. We’ll review your company’s growth goals and current situation, and together we’ll assess whether KasvunRahoitus could be the right way to lay the financial and funding foundation for your next phase of growth.