CFC targets micro M&A market

Insurance provider CFC has launched a new transaction liability solution for the micro end of the M&A market. Its Private Enterprise policy insures the sellers of businesses with an enterprise value from around £175,000 up to approximately £7m for damages and defence costs resulting from a claim against them for a breach of a representation or warranty in the purchase agreement.

Angus Marshall, head of transaction liability at CFC, said: “With over 50,000 SME transactions taking place in the UK alone on average, there is a significant market to address and an opportunity for brokers to provide a vitally important service to their small business clients looking to realise the value that they have worked hard to build.”

He added: “We estimate there to be nearly half a million SME M&A transactions a year globally, around ten times the number of deals in the current transaction liability addressable market. This important insurance cover has been widely adopted in the mid-market, and we believe the micro segment represents the next sector of growth.”

    Share Story:

Recent Stories