A transaction in which the management team acquires all (or a significant piece) of the equity from the existing owner(s). Often the owner elects to sell the company and wants to give management the opportunity to participate in ownership going forward. Two common misconceptions: (1) that the management team must bring a large amount of capital to the table and (2) the owner must seller finance a significant portion of the transaction. This is not true. A capital partner is a great way to allow the owner to cash out and give their management team the opportunity to own a stake in their company. A quality M&A firm can support a scenario that results in a win-win-win for the owner, management team and capital partner.