Timely preparation for a successful M&A project
If you are planning to sell your company in the medium-to-long term, we recommend that you contact us at an early stage in order to prepare the transaction process. Good preparation increases the value of your company, although some of the requirements that arise in an M&A process need a certain time for implementation.
Thanks to our extensive experience as transaction advisors, company mentors, and investors, we can provide sound and professional advice on how to optimally prepare for a company sale. Together with you, we will develop a tailor-made and flexible model to support you in this phase.
Typical questions to address in the ready-to-exit process
How well is your contract management organized? Are all necessary documents up to date? Are all contracts complete and legally valid? In nearly every M&A project we experience deficits in this area that must be addressed at the last minute and can lead to delays.
What is the status of your management information system? Are you able to provide up-to-date analyses and a break-down of your revenues? Potential buyers will want to understand how sales are distributed across customers, products, and projects, as well as how this has developed over time and how profitable each segment is. Clearly, the implementation of such controlling systems depends on the status and size of your company and must be introduced sensibly. However, if the data required in the M&A process is not readily available, it must be manually retrieved, leading to considerable effort and delays. As improvements in this area are hardly possible in the short term, timely preparation is essential.
Can your company’s balance sheet structure be improved? How is your company’s working capital managed? Improvements in this area usually require little effort and lead to a direct increase in transaction proceeds. However, the measures must be implemented well in advance of the M&A process as a buyer will not accept short-term optimizations.
Are your company’s marketing activities and its external image ready for a sale? In most cases, corporate communication is aimed mainly at potential customers. Especially in high-tech industries, this means that the corporate image is oriented towards a small group of technology specialists. The management team of a potential buyer, however, will look for different information and documentation. Few simple measures can ensure that you meet these expectations and can simplify the M&A process.
Good ready-to-exit preparation will make your company appear more professional during the sales process. This will build trust and add value to the transaction, making the process more efficient and reducing the risk of failure.
Our goal is to ensure timely and comprehensive preparation for a successful M&A project.