What goes into a 'sources and uses' table in an LBO?

Answer

Sources (cash inflows): (1) Senior debt (TLB, revolver); (2) Subordinated debt (HY bonds, mezz); (3) Sponsor equity; (4) Rollover equity from existing shareholders; (5) Excess cash from the target's balance sheet. Uses (cash outflows): (1) Purchase of target equity (the purchase price); (2) Refinancing of the target's existing debt; (3) Transaction fees (legal, banking, financing fees); (4) Minimum cash retained at close.