Valloop Surety provides a deferred consideration surety for the sale of significant assets. It’s been specifically developed to help SMEs transition to an employee co-ownership model without excess costs or fees. As an exiting business owner, you need to trust that you get the fair value of your business without jeopardising its future. The business needs a stress-free transition that preserves equity.
Valloop Surety secures the value of your business within a structure that maintains its financial health for the future.
We perform a valuation of your business upon which all parties agree.
Terms of transition, payment, and circumstances of surety are agreed in one contract.
You get your deferred payout as agreed. And your payments are secured.
For exiting business owners
For the business
What is a deferred consideration surety?
The sale and purchase value of an SME is the consideration. An element of the total consideration is deferred and paid at a point in the future.
The use of deferred consideration as a significant element of the overall capital requirements in an SME transition brings benefits to all parties. Agreed payments are secured according to contract terms and conditions.
Why are payments deferred?
Deferred payments offer many advantages to the business and the exiting owner.
It keeps more equity in the business and allows both parties to settle the agreement faster. Exiting owners and new business owners have complete visibility and security over their finances.
What’s the difference between a surety and a guarantee?
Surety and guarantee are often interchangeable terms. For this agreement, it means that we assume primary liability in the event of a default payment.
The obligee (exiting owner) doesn’t have to pursue a claim against the principal (employee-owned business). We (the surety) just issue the payment.
All of this is subject to the contract terms and conditions.
How is Valloop Surety so cost-effective?
Valloop Surety removes the need for insurance fees and avoids the added necessity for the business to secure third-party finance to pay a single upfront payment to the exiting owner.
If you’d like to find out more about Valloop Surety or how we can help your SME transition to an employee co-ownership model, feel free to get in touch.Get in touch