How do you sell a litigation funding company?

A litigation funding company sells on the strength of its book and its originations record. A buyer values the business from the item-level history of what it funded, what that collected and how long it took, then decides whether to buy all of it, a controlling stake or a partner position. The owner’s first step is a written read of the asset base.

What the buyer values. The book, matter by matter, and the originations engine: how the business finds, selects and prices what it funds. A buyer who can read both can say what the business is worth without relying on the owner’s projections.

The structures. A full sale. A majority or control partner who lets the owner scale or step back. A minority position for growth capital. A staged exit, where the owner sells in parts. Succession to a management team with capital behind it.

Preparing. A clean tape, an originations record by period, a servicing summary, and a clear statement of the capital sought and its use. Gaps become discounts.

Confidentiality. A sale of a business is confidential until the owner decides otherwise. Terms of confidentiality can be signed before the book is shared.

Criterica Capital prepares requests for growth capital, recapitalization, control and succession capital, for independent capital providers. The business is valued from the book, never from a multiple quoted on a page.

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