Wealth Management

Voted #6 on Top 100 Family Business influencer on Wealth, Legacy, Finance and Investments: Jacoline Loewen LinkedIn Profile

April 18, 2009

Private Equity Myth #4: Taking venture capital means you lose control of your company

If you take on a minority investment, you can continue to control your company -- making all operating decisions and having the ultimate say over strategic issues. Selling less than half of your company leaves you in charge, while providing liquidity to you and other early shareholders.
Just remember though, that more work goes into your company the more ownership you give over to investment partners. You will get more heavy lifting, the higher the percentage the investors own.
In the book Money Magnet, by J. Loewen, there is a chapter devoted to this topic.

Jacoline B. Loewen is a managing director at Loewen & Partners, a private equity and venture capital firm based in Toronto, Ontario. Loewen & Partners works with the owners of growing, privately held companies to access capital. Jacoline can be reached at 416 961 0862 or Jacoline at loewenpartners.com.

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