When founders or shareholders consider exiting a business, the transition must be handled with care. One powerful method is the Management Buy-Out (MBO) — where a company’s current executives purchase the business.
Why Choose an MBO?
Preserve legacy: Retain the company’s culture and values.
Empower leadership: Motivates management to perform at higher levels.
Continuity: Reduces operational disruptions during ownership transfer.
Investor appeal: Proven management often eases financing.
Our Recent Case
A mid-sized engineering firm was preparing for a founder exit. We helped structure an MBO that empowered the internal management team and aligned with Broad-Based Black Economic Empowerment (B-BBEE) goals.
Through strategic funding and risk mitigation, the company achieved a seamless transition. Within 18 months, they saw a 35% growth in revenue and retained 100% of their top clients.
How MACALLAN CAPITAL Adds Value
We:
Conduct valuation and feasibility assessments
Source funding (private equity, BEE partners, institutions)
Draft legal frameworks
Guide governance structures for the new ownership
Ready for an Ownership Shift?
If you’re considering an exit strategy or planning an internal buy-out, let our corporate finance experts walk with you.
👉 Book a confidential consultation.