Private Equity is when investors either invest directly in private companies or by public companies, which eventually results in the relisting of their public equity. These are usually institutional and retail investors, and the capital received can be used as an investment opportunity for making acquisitions, expanding work capital, funding new technology, and strengthening a balance sheet. Private equity differs from venture capital in the sense that while the latter invests in a new company hoping to see it grow, the former buy out an existing organization to make the business profitable. Among the investment firms in India, Chandra Credit Ltd. stands out as one of the top private equity service providers after having been in the business for two decades. CCL provides private equity services among other financial amenities.
The process involves the signing of a mandate between CCL and the client after preparing project reports and pitches and presenting them to the investors. If the investors show further interest, the deal is taken forward, which involves a milestone-based fee and the final service charge settling all the previous accounts. CCL also requires certain information such as the company and its director’s profile and net worth, the latest sales, the collateral involved, the business plan, and the payback period. If you’re a company looking towards a joint venture in India, Chandra Credit Ltd. is here to help you out.