Selling a business is often one of the biggest decisions and events in a business owner’s life. Hiring a trusted M&A advisor to aid in the sale of your business can significantly improve your chances of achieving a successful sale and desired outcome that achieves your personal goals and objectives.
Finding the Best Fit for Your Business
Each seller has unique goals for the sale process. Understanding these goals is critical for finding the right buyer and best fit to help achieve those goals. Hiring an M&A advisor helps you get the best fit who aligns culturally and experientially leaving you with the peace of mind post-sale that your employees and business are left in good hands.
Access to a Qualified Buyer Pool
M&A advisors often have an extensive network of potential buyers, including private equity firms, strategic buyers, search funds, and high-net-worth individuals. BAMA takes an extra step to ensure buyers are qualified financially either through a committed fund or access to readily available funds from other investors or high-net-worth individuals. Access to these buyer networks increases the likelihood of closing the deal and finding a buyer who offers both the financial resources and the strategic fit for your business.
Value-Driven Process
With access to extensive buyer networks, M&A advisors have the ability to bring many different buyers to the table in an efficient manner. BAMA sell-side engagements typically generate 60+ signed NDAs from qualified buyers on a given deal. This level of competition forces buyers to put their best foot-forward if they want to be the final buyer which drives the value of your business.
Expertise in Deal Structure and Valuation
M&A advisors bring specialized knowledge in determining the right valuation for your business given their real time insight on market conditions, valuation drivers and dingers, and other key factors. This expertise ensures that you receive a fair price and that the structure of the deal aligns with your goals. There are many different ways to structure a deal including a cash payment, contingent or deferred payments, seller financing, etc. BAMA will take the lead in the negotiation process to make sure you receive the most favorable price and terms for your business.
Time and Resource Management
Selling a business is a time-consuming process that involves legal, financial, and administrative work. M&A advisors handle the logistics, including managing due diligence, supporting your team in pulling and prioritizing certain financial or operational requests, and handling communications with buyers and various third-party advisors. This allows you to focus on running the business and maintaining its performance during the sale process and holding the buyer accountable to their timelines.
Conclusion
In summary, hiring an M&A advisor provides you with invaluable expertise, resources, and experience to navigate the complex process of selling a business. Working with an M&A advisor, like BAMA, helps you get the best price and structure, protects your interests, and ensures the transaction proceeds smoothly. If you want to maximize your business’s value and ensure a successful transaction, an M&A advisor is a key asset.
Business Acquisition & Merger Associates (www.buysellyourbusiness.com), a Charlotte, NC advisory firm, assists business owners in growth recapitalizations, business transfers to financial or strategic buyers, and management buyouts. BAMA also helps companies grow by providing buy-side sourcing services that identify potential add-on acquisitions to expand geographic footprint or add strategic products and capabilities.