£75,000 PGI approval in support of media firm buy-and-build acquisition strategy

This was an acquisition case for an existing client who is undertaking a buy and build strategy for a group of digital media companies.

As part of the financing package, the Director utilised an invoice finance facility to leverage the funds to complete the acquisition. The lender required a Personal Guarantee to be signed form the acquiring Director as additional security.

The Directors wanted additional peace of mind and financial protection for their assets so opted to insure their position, as they had done previously.

The Purbeck underwriters were quickly able to work with the Directors to ensure a quote was ready for purchase upon completion and the policy was active as soon as the Personal Guarantee had been signed.

Interesting facts about the case

• This was a second policy for this particular client; for Directors who have multiple Personal Guarantee commitments across several companies, we can insure multiple Personal Guarantees up to £400,000 per company.
• Where the Director has signed more than one Personal Guarantee per company, we can insure up to 5 individual Personal Guarantees and each is stated on the insured's policy schedule.
• The underwriting process places focus on the business plans and financial projections for acquisition cases. The robustness of the plans is considered, including whether any stress testing has been conducted and appraised.

Find out more

www.purbeckinsurance.co.uk

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