How Can Hiring an M&A Advisor Benefit You?

By Generational Equity

04/16/2018

The answer to the question “How Can Hiring an M&A Advisor Benefit You?” is multi-faceted. Certainly, companies are sold to buyers every day without the benefit of an M&A advisory firm.

However, if you want to truly optimize your ROI when you find a buyer for your company, using an advisor with years of experience, substantial marketing expertise and negotiating know-how, can help in several key areas:

  • Buyers recognize that sellers who hire an M&A firm are far more committed to actually selling because they have “skin in the game.”
  • Buyers realize that these sellers will be far more prepared to close a transaction because an M&A advisor will do their own due diligence before taking a client to market.
  • Sellers who hire M&A advisors usually have a much more realistic idea of the value of their companies, again giving confidence to the buyer that the seller is committed.
  • Finally, having an M&A advisor involved typically speeds up the deal process and can also help overcome hurdles that often arise in the 11th hour of most transactions.

This last point is possibly the most critical. There is an age-old maxim in deal-making: A deal isn’t a real deal until it falls apart at least two times!

Why Your M&A Advisor is a Valuable Ally at the 11th Hour

Since this is so often true, having an experienced dealmaker by your side will help you keep a long-term perspective on your eventual transaction because odds are good that your dealmaker will have encountered nearly every possible pitfall to closing that is possible.

If you are working on your own, you will not have the benefit of this experience base, since you will probably sell only one company your entire career. You don’t want to “learn on the job” when it comes to exiting your most important asset!

Don’t just take my word for it, have a listen to what a few of our clients say about the importance of having a dealmaker by your side:

If you are interested in learning more about the exit planning process and about how a dealmaker could be of benefit to you, set aside some time to attend a Generational Equity M&A conference near you.

At this complimentary conference, you will discover the important steps that business owners should take to help optimize the potential of their exit. Attending could be the best decision you’ve ever made, and secure your financial legacy.

Here are some links to help you do so:

By Carl Doerksen, Director of Corporate Development at Generational Equity.

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