HNB Capital focuses on two areas of the capital structure:
1. Asset Based Loans/Mezzanine Loans - Our loan consulting can take a variety of forms, including; asset based lending structures, unitranche debt, second lien debt or mezzanine debt. With a focus on optimizing the company's overall cost of capital, we will frequently utilize one or more of the above funding structures with our funding partners. Quite often providing a turnkey financing solution.
2. Small Business Equity Investments - We target established, cash flow positive or cash flow possible businesses in defensible market niches, typically with EBITDA ranging from $ negative mm - $5mm. Quite often we invest in distressed companies. We seek to align ourselves both strategically and financially with skilled operators; we do not get involved with the day-to-day operations of the business, instead providing guidance where impactful from a Board level and assisting in optimizing the capital structure of the business to ensure sufficient working and growth capital.