M&A Sell Side Engagement
Valuation: Make Informed Decisions
Helping business owners realize their goals from selling a business is a complex process that requires focus, objectivity and experience. During preliminary discussions with prospective sellers, ALIGNMT works closely to help understand the motivation for a sale and to provide insight to market opportunities, trends and valuation factors.
Business owners typically underestimate the importance of preparation, documentation and positioning when considering a sale. We don’t.
Our process begins with the Valuation & Qualification Analysis, a meticulous yet comprehensive evaluation report custom prepared to identify company specific value enhancing factors, industry wide benchmarks and trends, financial and economic perspectives on value and risk considerations. Combined, these factors determine what the business is worth in the market.
Dedicated client teams prepare a detailed Confidential Information Memorandum that describes the business, highlights its strengths and competitive advantages, and outlines future growth potential in detailed projected financial statements. Utilizing our extensive network and proprietary database, ALIGNMT prepares a well-researched list of potential acquirers that includes strategic buyers, foreign corporations, and private equity groups. Managing the sale process the team’s goals are to:
- Maintain confidentiality
- Contact only qualified buyers who have the means to consummate a transaction
- Shield management from the marketing minutiae, allowing it to focus on operations
- Manage an efficient timeline, formalizing the buyer pool quickly
- Create an auction environment with several buyers bidding against each other to acquire the company
- Select the winning bid and negotiate the components of an agreement
After the selection of the most desirable buyer, we continue to support the sale by negotiating the agreement in principle, formalizing the transaction with the definitive agreement. ALIGNMT plays a critical role during final negotiations and buyer due diligence when transactions often stumble.
We engage in asset based transactions, not securities transactions in compliance with the SEC’s M&A Broker rules.