- Starfish Partners provides capital for the owner(s) to invest as they see fit in their business
- Loan and interest payback scheduled based on some combination of minimum, percent of revenue and/or percent of revenue
- Back office of the organization is run by Starfish Partners in exchange for a percent of revenue
- Offices are considered for membership into Sanford Rose Associates (SRA) for support to scale in exchange for royalties (SRA offices benefit from discounted back office services)
- Financial guardrails are established until the loan is retired at which point back offices fees are reduced
- Back office fees continue in perpetuity but upon the retirement of the loan, such fees are reduced and a termination provision is provided
♦ The number one reason for business failure and lack of growth is access to investment capital. In almost all cases, business loans must be backed by sufficient personal assets to underwrite such risks. Most venture debt of high-risk enterprises necessitates equity for the lender and in many cases, a majority stake. This structure allows the owner to focus on business growth over the struggle of personal billings to fund scale. The firm is provided with counsel and operational support and, in many cases, the full benefit of all resources of the Sanford Rose Associates Network.