Financial investors are individuals or financial companies or other types of financial organisations which collect money from the ultimate savers such as general public like you & me, financial intermediaries like banks, NBFCs, various types of funds, various types of schemes, etc. Their understanding of the technical, operational & market part of business is relatively lesser compared to the strategic investors but more compared to the banks. They invest with a perspective of a limited number of years. They want to exit from the business after adding a lot of value during its growth phase. Financial investors are experts in valuation, mergers and acquisitions, transactions, equity contracts and they have immense negotiation skills. If a private limited business or a small-cap listed company directly approaches the financial investors, they may lose on valuation as well as terms of the contract. It is better to approach to expert Consultants.