Private Equity FundsA buyout fund is able to increase the value of its portfolio companies at zero cost through Paygevity’s SCF marketplace with PromptPay™. Paygevity SCF frees up cash flow normally trapped within working capital so C-Suite managers can invest that cash in value creating projects that maximize shareholder value.
Pre-AcquisitionPaygevity SCF enhances prospective investment cash flow and valuation modelling. Paygevity helps PE funds validate and test analyst assumptions of an investment’s maximum topline and EBITDA growth potential by considering the benefits of implementing a customized Paygevity SCF program within the investment.
Deal DiligenceIn this phase, a fund’s deal team gains access to the prospective investment’s C-Suite management team, supplier account payable data and recent corporate financials during discovery. Here the deal team aligns its projected Paygevity PromptPay™ financial models to forecast actual Paygevity SCF ROI.
Working Capital – PromptPay™ immediately begins to provide a cash boost to working capital at portfolio companies. Vendor supply chain risks are proactively mitigated by providing all vendors within the supply chain a pragmatic and safe option to improve vendor cash flow positions. Paygevity SCF with PromptPay™ covers all vendors – ranging from “large ticket” vendors to ‘mom and pop’ vendors.
Governance – PromptPay™’s customizable working capital ROI report automation functions can support governance strategy while facilitating and streamlining transparent C-suite communication with analysts, investors, and employees alike.
Compliance – PromptPay™ can generate automated reports to support annual audits and internal compliance requirements. Paygevity’s SCF is an extension of the buyer’s accounts payable and is not considered financial debt. For the vendor, it represents a non-recourse, true sale of receivables.
Investment ExitIn the run-up to a PE fund’s investment exit, Paygevity SCF enhances portfolio company cash flow, EBITDA, and valuation modelling to get you the highest sale price supported by actual data.
Operational Due Diligence Throughout
Customizable PromptPay™ reporting functions allow for the platform to support operational due diligence at each phase of a deal’s life-cycle.
Affords PE fund managers the ability to leverage PromptPay™ insights to maximize portfolio investment’s top-line and EBITDA growth potential. This data can be used to reconcile and track projections to actuals at each crucial step of the holding period.