Private Company Services
Getting Ready To GoThis refers to the Stanton Associates methodology for preparing a private company for a liquidity event. Whatever the expected event, whether it is an outright sale to a public company or a Private Equity firm, or a “leveraged recap,” running things the same “old” way will almost certainly depress the valuation and often (due to SOX issues, for example) will actually kill the deal. We can help not only get the “deal done” but also maximize the probability for a high multiple and a successful outcome after the transaction. (We do not remove the need to engage investment bankers, lawyers, CPAs, and valuation experts – although we can assist in their selection and project manage their efforts.)
[We can also help you decide if an exit at this time is the best strategy. See Should I go?]
Stanton Associates can help in the following ways:
- With the support of other professional advisors identify the desired objectives (rarely just financial; e.g. there are many family, minority shareholder, and lifestyle considerations)
- Determine desired achievable valuation – then develop a strategy to obtain the maximum possible valuation and final sales price
- If the goal is to find a public company strategic buyer, or a Private Equity firm that wants to acquire “clean” companies as part of a roll-up strategy, then there may be several operational, financial, administrative, and legal items that will need to be attended to. Some of these may be multi-month projects
- Financial statement clean-up is always a consideration. Not only is it important to present clean financials, it is also important to be able to show a buyer’s due diligence team that there is almost no risk of a “surprise”
- Help the business owner structure the right deal to maximize happiness and peace of mind after the transaction
- Work with the business owner to ensure employees and other stakeholders are treated as fairly as possible (within the context of what is realistic)
Selling your business is an enormous decision and potentially very complex. Use the experienced team from Stanton Associates to help ensure it is done right.
Do you take the money? Take some money off the table? Continue growing the company to achieve a higher valuation down the road? Or recognize this is the thing you, as the business owner, love most after your family and “selling out” in the foreseeable future is not the right decision.
Whatever the answer to the above questions, Stanton Associates is the right firm to turn to for experienced, careful advice that considers all the issues – not just the financial. And since we are not compensated based on closing a transaction, we have no financial motivation to rush you to an exit.
We can evaluate your strategic alternatives for growth, selling now, or a middle path of making some changes that will enhance the attractiveness of the business to a strategic or large financial buyer. Then we will help prepare a detailed executable plan designed to achieve the desired objectives. And unlike most other consulting firms we are happy to assist in the implementation of the plan and work with the ownership to ensure it is followed with commitment, integrity, and discipline. Each company is unique and requires unique and innovative solutions. We do not send in junior staff with canned solutions, but instead use only experienced, highly-qualified professionals to tailor a solution that exactly fits your needs.