Alaris Financing Structure

What is the Alaris structure?

An alternative to raising capital through leverage or a private equity investment.

How does the structure work?

Alaris uses an investment structure that provides capital in a way that maximizes valuations, is tax effective and allows existing owners to retain control.

Alaris will provide a cash payment at an agreed upon valuation in exchange for a royalty payment.

The structure converts the portion of a company's earnings that typically would be paid out as an after-tax dividend into a pre-tax royalty payment.

The structure is tax efficient and leaves 100% of the common voting equity and operating control in the hands of the current owners / managers.

The transaction is designed for companies who are raising capital for either a partial exit, recapitalization or for growth and do not want to give up equity (or control) or add risk to the company through high leverage.