What Does Independent Sponsor (Fundless Sponsor) Mean?
An independent sponsor, or fundless sponsor, is a type of capital group or individual seeking acquisition candidates without having the equity financing required to complete the transaction up front (hence, they are "fundless"). Independent sponsors are usually ex-M&A professionals (investment bankers or private equity experts) who desire equity ownership in a business and/or would like to be more involved in the operations and growth of an organization.
