Most independent sponsor deals close four to nine months after the first introduction, but the range can stretch in both directions.
Faster than average (three to four months)
Clean books, organized data room, no contested customer concentration, and a sponsor with strong existing lender relationships.
Average (five to seven months)
Standard diligence with one or two material issues to resolve, equity raise that takes 60 days, and senior debt that takes 45 to 60 days to commit.
Slower (eight months or more)
Complex carve-outs, regulatory approvals, or a sponsor still raising the equity tranche at the end of exclusivity.
Founder energy
Plan for the back half of diligence to consume 30 to 50 percent of your time. Delegate operational responsibility before the LOI is signed.
If you are evaluating a transaction in this space and want a candid second look, Solender Capital is happy to compare notes. Reach out through our contact page and share what you are working on.