PORTLAND, Ore.--(BUSINESS WIRE)--Confluence Capital Group (CCG) sponsored the recently released 2018 Pepperdine Private Capital Markets Report, which gives insight into business financing within the $33 trillion private capital ecosystem. The 2018 Capital Markets Report was prepared by the Private Capital Market Project team at Pepperdine Graziadio Business School earlier this year. The survey, which has been issued every year since 2009, takes an extensive study of the behaviors of lenders and investors from numerous areas.
“Our goal in sponsoring research in private capital markets is to help us better serve the market, educating private companies on the vast resources available to fulfill their capital needs,” said Stewart Williams, Managing Director at CCG. “One of the main concerns businesses of all sizes have today is raising capital, and we are determined to help them find fitting solutions, some of which they may not have considered or were even aware existed.”
The Pepperdine Private Capital Markets 2018 Report studies three key attributes of today's market trends. First, it looks at the total cost of capital, which varies based on capital type, size, and risk. The report discovered that target rates of return have not varied considerably for banks, asset-based lenders, mezzanine funds, or private equity groups in recent years. However, there has been a noticeable increase in target return rates for venture capital firms and angel investors.
The survey also examines the types of funding sources being utilized by private companies. It is evident that traditional funding sources are still used by the majority of businesses, such as bank lending and credit cards. Other funding resources such as venture capital and private equity were sought considerably less frequently, although the amount of funding available is at record levels. The report found 35 percent of businesses go without any financing, which may be the result of a general lack of awareness of other funding options, or not knowing how to obtain financing from those resources.
All sizes of businesses share a common concern of securing financing. However, the survey finds smaller businesses, with less than $5M in revenue, are greatly concerned about securing financing when needed. CCG believes that raising awareness of the numerous financing options available may help companies obtain appropriate pricing and greater access to capital resources.
To read more about the report and to read a summary, visit https://www.confluencecg.com/.
About Confluence Capital Group:
Confluence Capital Group (CCG) is comprised of capital strategy experts that help guide businesses through the process of developing a complete capital strategy, with direction on how to reach important objectives at each stage of growth. CCG was founded with a mission to help lower middle market growth companies by offering debt and equity solutions to execute growth strategies including recapitalizations and mergers and acquisitions. Businesses can contact CCG at https://www.confluencecg.com/contact/.
Investment Banking Services and Securities offered through Independent Investment Bankers Corp. a broker-dealer, Member FINRA/SIPC. Confluence Capital Group, Inc. is not affiliated with Independent Investment Bankers Corp. One World Trade Center, 121 SW Salmon St., Suite 1100, Portland, Oregon 97204
About the Pepperdine Private Capital Markets Project
The Pepperdine Private Capital Markets Project advances ongoing research to understand the true cost of private capital across market types and the investment expectations of privately-held business owners. Learn about the project by contacting Dr. Craig R. Everett, firstname.lastname@example.org.
About the Pepperdine University Graziadio Business School
Anchored in the core values of integrity and innovation, the Pepperdine Graziadio Business School challenges individuals to think bodily and drive meaningful change that positively impacts their organizations and communities. With an entrepreneurial spirit, the Graziadio School advances experiential learning in small classes that deepen connections and stimulate critical thinking. Through our wide continuum of MBA, MS and Executive degree programs offered across six California campuses, Graziadio faculty inspire full time students and working professionals to realize their greatest potential as values-centered, “best for the world” leaders. Follow the Graziadio School on Facebook, Twitter at @GraziadioSchool, Instagram and LinkedIn.