Which of the following are commonly used sources of financing for M&A transactions?
A) Asset based lending
B) Cash flow based lending
C) Seller financing
D) A and B only
E) All of the above

Question

Quizplus · Accepted Answer

All of the above options are commonly used sources of financing for M&A transactions. Asset based lending, cash flow based lending, and seller financing are all popular methods for companies to obtain the necessary funds to complete a merger or acquisition. Asset-based lending involves using assets, such as inventory or accounts receivable, as collateral for a loan. Cash flow based lending involves borrowing against future cash flow. Seller financing involves the seller providing financing to the buyer.

Which of the Following Are Commonly Used Sources of Financing