We focus on 3 major services
Divestures
Divesture of a business or major asset can be an extremely complicated, time consuming, detailed oriented, and stressful process. We provide consulting service to assist businesses who are considering selling their company or certain assets. We research, analyze and prepare your business for sale and then confidentially market your firm to company buyers. We have an extensive network of buyer contacts.
We start the process of selling your business by first sitting down with you and determine the goals that you are looking to achieve in selling. By knowing your goals it gives us an advantage in understanding your business. After meeting with you our goal is to obtain a competitive offer and to structures a deal for your consideration. Using your input we begin negotiating with the buyer to get the transaction completed. At all times during the negotiating we are updating you and getting your input.
As part of finding the buyer and closing the deal we need certain information and documentation. At our meeting we will provide you with details of information that will be need. The following is a list of some of the items that maybe required and generated:
· Business appraisal and valuation
· Asset Description
· Contracts
· Management Records
· Employee Issues & Payroll
· Revenue History
· Financial Records
· Legal Issues
· List of Officers
· Tax Records
Acquisitions
Acquisition of a business or major asset can be an extremely complicated, time consuming, detailed oriented, and stressful process. We provide consulting services to assist businesses who are searching for other companies or major assets to acquire to continue their growth.
We have an ongoing search program looking at industry assets and companies that maybe liquidating some assets or subsidiaries. Our initial step is to visit with you to determine what acquisition goals your company may have. We can develop an acquisition strategy that meets your growth program and profile companies that meet your requirements. We examine the type of industry, revenue range, employee count, cash flow, location, valuation, management capabilities and integration risks.
In addition to strategy development, our services include the initial contact with the potential asset, due diligence, economic evaluation, management review, and negotiations on your behalf with the seller. At all times during the negotiating we are updating you and obtaining your input and working to ensure a timely, successful acquisition and integration plan. Our client’s identity is not revealed to potential acquisition targets until the client wishes their identity to be known to the company being acquired.
Marketing of Energy Products
Management Buyouts (MBO) involve a group of employees who want to acquire all or part of the company they operate. The owners or parent company may be looking to divest the company or a particular asset and the existing management or employees are approached by management to buy the property.
We can provide consulting services to assist the parties through the buyout and negotiating process. We set up the financial structure of the deal, determine fair market value, conduct due diligence and keep the business relationships intact so the deal is successful.
A management buyout may be an option for one of the following reason:
· Existing Management has sufficient financial strength to start a competitive operation.
· Parent Company wants to raise capital for various needs or expansion in another industry area with higher capital return.
· Certain parts of an organization no longer are seen as core areas of the business.
· A company is in financial distress and needs cash.
· Parts of acquisitions are not wanted by a new buyer of the company.
· In a family business, succession issues involve the owner’s retirement.
· The management team stands to gain independence, autonomy and a chance to influence the strategy and future direction of the company and the prospect of a capital gain.
An MBO can be attractive to the seller for many reasons, including strategic considerations, confidentiality, familiarity and speed. With an MBO, the seller is usually more comfortable releasing confidential information to people he/she knows and trusts. An MBO also allows the seller to continue dealing with a management team that it has an established relationship with. In addition, an MBO usually results in a quicker deal than typical business purchase transactions, allowing the seller to move on with future plans.
Business Valuation
Business Valuation includes a number of issue besides the pure market value or replacement value of the asset. Because of our experience and industry knowledge we have first hand knowledge of what businesses are being bought and sold for.
We use three main valuation techniques:
· Income Approach
· Asset Approach
· Market Approach
Exit and Divesture Strategy Planning
Developing an Exit Strategy Planning will in increasing the value of your business and make the exit process smoother. We provide consulting services to assist in preparing the business for the divesture and how to increase the value of your business before the sale process begins. Here are some questions to consider.
· Do you want to sell to the highest bidder or are you leaving the business in the hands of family?
· Do you want to sell to a private-equity firm and retain partial ownership of the company and stay involved in the day-to-day operations?
· Or do you want out completely to satisfy other life desires?
We help you consider all of these questions and more as you prepare to leave the business. We consider all areas of your business, then create and implement a plan to generate a higher price when you sell your company.
Value Enhancement Planning
All business owners want the highest value possible for their company or assets when they decide to sell.
Before selling or buying a business you may want to take specific actions to enhance the company’s value. Besides the value of the assets additional drivers of business value include:
· Business Growth Strategies
· Existing Management
· Strategic Planning
· Company Vision
· Customer Focus
· Protected Brands