A threshold question for successful business owners who want to sell their company, or better position themselves to acquire others, is whether to “do it yourself” or hire a professional. While obviously talented, owners may not have the time, knowledge or network to efficiently research and identify suitable buyers or strategic growth partners. Their core competencies lie elsewhere.
Owners can instead hire a “dealmaker” – an investment banker, M&A advisor, or business broker. Dealmaker processes include preparation of an extensive Confidential Information Memorandum (CIM), management presentations to prospects, multiple round auctions, mass email campaigns and/or listings on business-for-sale websites. Some charge recurring work fees and/or termination fees in addition to substantial success fees.
Howard Sheri Corporation, founded in 2022 by attorney Michael Erdman, offers successful business owners pursuing strategic growth or exit objectives a compelling alternative to hiring a dealmaker. HSC makes targeted introductions to private equity firms and corporate buyers well-suited to collaborate with a particular owner in a sale or strategic growth partnership. HSC’s approach is faster-moving, more discreet, less disruptive and less expensive than dealmaker processes.
- Targeted introductions reduce the likelihood of company suppliers, customers, employees and competitors prematurely discovering and possibly acting upon the owners’ plans
- Targeted introductions let owners and management remain focused on running the business instead of disruptive and time-consuming CIMs, management presentations, and multiple round auctions
- Targeted introductions reduce the likelihood of other potential buyers or growth partners perceiving the company as a “shopped deal” in the event initial introductions do not result in a transaction
- Targeted introductions identify well-suited private equity firms and/or corporate buyers sooner, rather than toward the end of a multiple round auction
- In most cases HSC only charges owners a (modest) fee if they consummate a sale or growth partnership
HSC also leverages Erdman’s experience representing large and mid-sized companies in transactional and other legal matters, his knowledge of and relationships with private equity firms, and intermediary best practices learned from an industry veteran.
Are you a successful business owner? Contact us to start a conversation about how HSC can help you achieve your strategic growth and exit objectives.