M&A / Acquisition finance
Speak to an advisorExternal acquirer buying a target. Lenders assess the combined entity, integration risk, synergies and management continuity.
M&A FinancingFund the acquisition.
Fund the acquisition.
Structure the deal that actually completes.
Independent debt advisory for UK SME mergers, acquisitions and buy-and-build strategies — across senior debt, unitranche, mezzanine and blended structures.
Speak to an M&A advisorThe problem
The deal only completes if the funding structure holds
You have identified the target. You have signed heads of terms. Now the question that decides whether the deal closes: how do you fund it — and how much of the price can debt actually carry without putting the combined business under pressure?
Stable helps acquirers structure the debt element of M&A transactions. Senior debt, mezzanine, vendor structures, growth capital alongside — combined to give the deal its best chance of completing on terms that work after day one.
Who we help
Acquirers, targets and the advisers around them
Trade acquirers
SMEs buying competitors, complementary businesses or targets in a buy-and-build strategy.
Private equity-backed platforms
Portfolio companies executing bolt-ons or transformational acquisitions.
Founders exploring exit
Sellers who want to understand what debt the buyer can raise before agreeing terms.
Corporate finance advisers
CF houses needing dedicated debt advisory input on live deals.
Accountants & lawyers
Deal teams needing a debt view before the transaction structure locks in.
Family offices & investors
Investors backing SME acquisitions who need leverage sized properly.
M&A vs MBO
Different transactions. Different funding realities.
MBO / Management buyout
Read moreInternal management team buying the business they run. Lenders focus on management strength, historical cash flow and vendor participation.
Funding structures
The building blocks of an M&A structure
Senior debt
Core of most structures. Amortising or bullet repayment, secured against the combined business. Usually 2-4x EBITDA.
Unitranche
Blended senior-and-mezzanine facility from a single lender. Simpler structure, higher leverage, higher blended cost.
Mezzanine
Junior debt sitting between senior and equity. Higher rate, often with warrants. Used to stretch leverage without diluting equity.
Vendor loan notes
Seller finances part of the purchase price. Bridges the gap between valuation and lender-fundable amount.
Deferred consideration
Purchase price paid over time — linked to earn-out, performance or agreed date. Reduces day-one funding requirement.
Equity / co-investment
New equity from the acquirer, PE, family offices or vendor rollover. Right-sizes leverage and de-risks execution.
Debt capacity
How much can this deal actually carry?
The answer determines whether the deal is priced correctly, whether the structure works, and whether lenders will engage seriously.
Test your deal's fundabilityCombined EBITDA & cash flow
Sustainable earnings of the combined entity, adjusted for synergies and integration cost.
Leverage multiples
Debt/EBITDA against sector benchmarks and lender appetite for your size, sector and structure.
Working capital & integration cost
What the business needs to keep trading, and what integration will consume in year one.
Security & covenant capacity
Available security across both businesses and the covenants the structure can realistically carry.
Sensitivity & downside
How the structure behaves if revenue softens or synergies take longer than planned.
Lender appetite
Which lenders — banks, private credit, alternative funders — will actually price and support this deal.
How Stable supports M&A
From deal review to drawn-down funds
From deal review to drawn-down funds
The debt piece, handled end to end
1
Deal review & debt sizing
Target performance, valuation, structure, funding requirement, timetable. Sized to lender appetite and combined cash flow.
2
Structure design
Senior, mezzanine, vendor deferral, equity — combined into a structure that lenders will fund and the business can service.
3
Lender selection & funding pack
Right lenders for the deal size and sector. Funding pack positioning the opportunity, risk and repayment route clearly.
4
Offer negotiation & completion
Rate, fees, covenants, security. Then alongside CF, accountants and lawyers through DD, docs and close.
Why Stable
Debt is the part of the deal that decides whether it completes
Corporate finance advisers run the transaction. Lawyers structure the documents. Accountants handle diligence. But the debt structure is what actually funds the price — and it is the part most likely to derail a deal at the last minute.
Speak to an M&A advisorStable focuses only on the debt piece. We bring lender appetite, structure options and negotiation into the deal early — so the funding is not the constraint on the transaction, and the completed business is not overloaded at day one.
Example scenarios
How M&A funding plays out
SME buying a competitor
Trade acquirer taking out a smaller competitor. We size senior debt against the combined EBITDA, model synergies conservatively, and blend vendor deferral to bridge valuation.
PE-backed platform bolt-on
Portfolio company executing accretive acquisitions. We work alongside the PE sponsor to structure incremental debt within the existing facility or as new tranches.
Buy-and-build strategy
Serial acquirer building through multiple deals. We structure the platform facility with capacity for follow-on transactions, so each acquisition doesn't need a full refinance.
Cross-border acquisition
UK acquirer buying an overseas target. We navigate cross-border security, currency exposure, tax structuring and lender appetite for the geography.
Get started
Ready to fund the acquisition?
Stable helps acquirers, sellers and advisers structure the debt element of M&A transactions — so the funding supports the deal instead of constraining it.
FAQs
Frequently asked questions
What is M&A financing?+
The debt and equity structure used to fund an acquisition or merger — usually a mix of senior debt, mezzanine, vendor structures, deferred consideration and equity.
How much debt can I raise for an acquisition?+
Usually 2-4x EBITDA on senior debt for SME transactions, extending to 4-6x with mezzanine or unitranche. The exact number depends on sector, cash flow, security and lender appetite.
Is Stable a lender?+
No. Stable is an independent debt advisor and broker. We help acquirers and their advisers access, structure and negotiate funding from suitable lenders.
How long does M&A funding take to arrange?+
Typically 8-16 weeks from mandate to funds, depending on transaction complexity, diligence timeline and lender processes. Vendor timelines usually drive the pace.
Do you work alongside our existing advisers?+
Yes. We routinely work alongside corporate finance advisers, lawyers, accountants and PE sponsors as the debt specialist on the deal team.
Can you help with cross-border acquisitions?+
Yes. We work on UK acquirers buying overseas targets, and overseas acquirers buying UK targets — structuring security, currency and lender appetite across borders.
Can you fund earn-outs or deferred consideration?+
Earn-outs and deferred consideration are usually structured within the deal rather than separately funded. We model the cash flow impact and size the day-one debt accordingly.