
Business Investments
We are the principals for the deals we complete, NOT brokers. And we have the experience and capability to assess and make an offer for your business swiftly – often within days of the first contact. And for the right deals we can complete within weeks.
Because we are like you, we fully understand that a business can be the biggest asset that people own and as such selling your business should be treated with caution. It is important to us that we treat each potential acquisition as unique and we listen carefully to your wants and needs and a plan is made to ensure that you are completely happy with the outcome.
If you are aiming to retire then we understand that it may be very important to you for the good name and reputation of your business be kept – this is understandable as you will have worked long hours to build the Business up!
Finance and Deal Structures
We are specialists in crafting and financing “win-win” deals to allow the owners of private companies to exit.
We have access to finance from a private equity fund, plus a wide range of commercial funders and we also have a network of High Net Worth investors for the right deals.
In the current economic climate, virtually all private businesses are bought in two phases:
An initial payment normally paid within 3 days of legal completion and then a portion of the agreed sale price on a deferred basis, typically between 12-36 months.
The reasons why there is a deferred portion are:
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Our panel of funders and investors will not allow us to pay all of the value up front because of the risks associated with private businesses, especially in these difficult times.
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A deferred portion keeps vendors honest. There is no offence intended here; when a vendor knows he must be honest about future value, his interests are aligned with us as a buyer. This is in the interest of both parties.
We focus on ensuring as much of the cash you have built up in your business is returned to you at the point of completion. Any advisor who tells you to take any spare cash out prior to a sale is a fool and should be locked up! Ask us why.
We then look at the historic performance of the business as well as the prospects for a decent return on profit after tax over the next four to five years. If your business sounds like this, then we should talk.
Key Benefits of Selling to Us
We believe there are number of important benefits from selling directly to us.
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No valuation fees. We will give you a fair, honest and open valuation for your business.
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Flexible, tailor-made solutions, with time-frames to suit you.
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Offers within days, completion within weeks (subject to receiving your information promptly).
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No time, uncertainty, stress or hassle wasted on selling via agents or brokers.
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Legally binding contracts and written assurances built in for your protection.
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No Broker or Agency fees.
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We guarantee a confidential sale.
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All offers will be explained in a clear and transparent way, and our final offers will be valid for 30 days.
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There are NO hidden costs.
What Might Happen to my Business?
Many business owners are understandably concerned as to the fate of their business after the sale. Indeed, we know that this can even be the cause of aborting a sale. Owners are concerned as to how valued staff might be treated after a sale or their reputation with clients perhaps.
So we have three categories of what might happen to your business after the sale.
Category 1 - Business Purchased With A Managerial Role.
Your business is acquired and we provide you, the former owner, with a consultative or managerial role over a fixed term contract. This allows continuity within a business transfer, guarantees you an income stream, but frees you from the day to day hassles and responsibilities of the trading entity and allows you to get back to do what you first loved about the business when you started it.
Category 2 - Straight Forward Business Acquisitions.
Your business is acquired and added to a portfolio of similar business types, managed and run within our Group. We will apply economies of scale where group businesses of a similar type together to optimise cost and overhead savings as well as concentrate buying power with suppliers.
Category 3 - Business Purchased & Sold On.
Your business is acquired and sold on within a specific time frame. We have a number of private equity partners that also acquire and where suitable (and there is no conflict of interest), we may sell on the business but always ethically and with due care to the staff employed.
Strategy
Value creation always comes back to strategy. Where, exactly, do we want to take the newly acquired business, and how do we plan to get there? This will help focus everyone's vision.
Structure
The only way the strategy can be implemented properly is if the right people, structures, and processes are in place. Everyone should be moving in the same direction working toward the end goal.
Implementation
None of this can be done without a detailed roadmap that everyone can follow. We clearly define measures and targets so that the MD and staff have something to work toward.
