A threshold question for business owners who want to sell their company or grow it by acquisition is whether to “do it yourself” or hire a professional. While obviously talented, successful owners may not have the requisite time, knowledge or experience to manage a sale or growth partnership process. Their core competencies lie elsewhere, and they have a business to run.
Before owners hire a traditional dealmaker – an investment banker, M&A advisor, or business broker – they should understand the intended sale process. Traditional dealmaker processes can include preparation of an extensive Confidential Information Memorandum (CIM), numerous management presentations to prospects, overly broad auctions, mass email campaigns and/or listings on business-for-sale websites. Some processes may deter prospective buyers from participating.
Howard Sheri Corporation, a sell-side Mergers & Acquisitions Intermediary founded by attorney Michael Erdman, offers business owners pursuing exit or strategic growth objectives a compelling alternative to traditional dealmakers. HSC utilizes a flexible, targeted process guided by owners’ goals and priorities that is more discreet, less disruptive, less expensive and faster-moving than most dealmaker processes. For example-
- Our targeted process reduces the likelihood of suppliers, customers, employees and competitors prematurely discovering and acting upon owners’ plans, or the opportunity being viewed as a “shopped deal”
- Our targeted process lets owners and management remain focused on running the business instead of a disruptive and time-consuming CIM, management presentation(s), and auction
- Our targeted process identifies well-suited strategic buyers and/or private equity firms sooner, rather than at the end of an overly broad auction
- In most cases HSC offers owners a competitive hybrid fee arrangement, with no recurring work fees or termination fees
HSC also leverages Erdman’s experience representing large and mid-sized companies in transactional and other legal matters, and his knowledge of/relationships with strategic buyers and private equity firms.
We enjoy getting to know business owners and educating them about potential acquirers and growth partners, the dealmaker ecosystem, what the sale/growth partnership process can look like, and how they can start preparing now for a future transaction. Contact us to start a conversation.