A regional provider in Pernambuco had about 6 thousand subscribers, healthy demand and stable growth. But growth was stuck at organic. Meanwhile, the region was consolidating, with small providers being bought by better-capitalized competitors.
The partners watched the opportunities go by and knew that if they didn't act, they would fall behind.
The challenge
The company saw clear opportunities to buy small providers in the region, but ran into two critical issues: it had no capital of its own to buy and no financial structure to support a growth-by-acquisition strategy. Cash management was reactive and unpredictable, which made structured debt unworkable.
The cost of standing still was high. The company was losing acquisitions to funds and larger players, growing below the market's potential, losing territory and seeing local competition increase. In the long run, the lack of scale would also lower the company's value.
Two things made the decision urgent. Competitors began buying nearby providers and quickly gaining scale. And a concrete opportunity came up: buying two local providers with an active base and recurring revenue, but with a short window to negotiate.
How Vispe worked
What made the difference was structuring the acquisition to pay for itself from day one. The fundraising combined a fund and debt, using the projected cash flow of the acquired companies themselves as the basis. The acquisitions were chosen for synergy: providers with a recurring base, low efficiency and high integration potential, to generate margin and cash quickly.
After the purchase, finance was centralized, liabilities were extended and the cash cycle was adjusted so the acquired revenue would cover the debt payments. Part of the acquired base was repriced, cross-selling started immediately and operational redundancies were eliminated.
The road had obstacles. Data from the acquired companies was unreliable, making it hard to validate revenue, churn and delinquency. Sellers had misaligned valuation expectations. The client itself had no management P&L, no projected cash flow and no minimum governance to support leverage. And integration required unifying systems, standardizing processes and keeping control of the customer base without losing revenue.
The results
- Amount raised: R$ 1.2 million.
- Customer base: up 52% in 12 months, from 6 thousand to 9.1 thousand subscribers.
- Monthly recurring revenue: up 47% after integration.
- EBITDA: up 18 percentage points from captured synergies.
- Debt: 100% of installments paid with cash generated by the acquired companies, from the first months.
- Operating cost per customer: about 22% lower.
- Payback: projected at under 24 months.
- Valuation: estimated increase of 2x to 3x.
The debt structure also changed. Before, the company relied on expensive lines, such as overdraft and bank working capital, at 2.5% to 4% a month and with 6- to 12-month terms. Afterwards, it had structured debt at 1.2% to 1.6% a month, with 36- to 60-month terms and an initial 6- to 12-month grace period on principal. That made it possible to integrate the acquisitions before the heavier payments began.
What changed
The company went from a limited regional provider to a player actively consolidating its market. The partners gained financial clarity and the confidence to pursue new acquisitions, management became professional and the brand came to be seen as an established player in the region. Third-party capital, used wisely, bought ready-made, scalable revenue with a predictable return.