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Acquisitions

5 Reasons to consider an acquisition

Answering ‘Yes’ to any of these will give you confidence that you should proceed with the exploration of an acquisition: Arrange a confidential conversation to discuss issues and opportunities that go well-beyond this document’s scope:

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Acquisitions

Planning an Acquisition: Getting on the Same Page

Before the deal enters the decision process, it’s critical that the decision team is 100% aligned in advance on numerous critical issues.  Failure to align could scuttle the deal, or threaten the integration because of competing visions. This tool (parts adapted from McKinsey) will help: Talk to us about sourcing the strategic targets necessary to […]

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Acquisitions Not for Profits

Assessing the quality of a company’s prospect database

When an acquisition is being contemplated for the purposes of selling to a new market, the quality of the prospect list of the target company is obviously crucial. This tool will give you what you need (working with the target-company’s CRM) to determine if the company actually has the goods you think they do:

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Acquisitions

What’s the business worth?

It can be easy to over-pay for a business in the private-sale market. That’s because entrepreneurs have built them – sweated them out, and stayed with them through thick and thin.  When it becomes time to sell, it’s natural for them to think that ‘now, I can be paid for this time’. …well, not so […]

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Acquisitions

4 Market conditions that indicate timing is right for an acquisition

Considering an acquisition? Arrange a confidential conversation to discuss issues and opportunities that go well-beyond this document’s scope:

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Acquisitions

Assessing the relative value of a target

Once a target has been identified, and well before the go/no-go decision is made, a relative assessment of the target’s value has to be made. Generally, that’ll involve a consideration of the business on its perceived merits, but consideration needs to be given to competitive strategy as well. This worksheet will give you what you […]

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Acquisitions

Is the business getting fair market share?

Is the business realizing its fair market share? The power in knowing – even estimating – this information, is in identifying opportunities for growth by product line, as well as (for acquisitions) identifying correct pricing for a business. The worksheet below is a simple way for to calculate market share, based on total customers (not […]

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Acquisitions Not for Profits

The limits of organic growth

An acquisition is a method of strategic growth. As such, its reasonable to factor organic growth – the ‘steady as she goes’ approach into the discussion, and assess best-case scenarios for growth. Would selling more help you significantly? Would increasing your average selling price help? The answer of course is that each will help…but the […]

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Acquisitions

Will the acquisition work?

Considering an acquisition? This typology of successful acquisitions will arm you with the confidence to continue with the plan, or search for an alternate target (“Yes” responses indicate greater likelihood for success).

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Acquisitions

Assessing viability of multiple options

When you’re faced with the situation of having too many options, the best way to plot the path forward is to assess the net present value (NPV) of the cash generated of each option under consideration. By determining the NPV of the various options, executives get the truest insight into the impact of each project/path, […]