Companies are often not ready to be sold, but circumstances dictate that they must. Transactions can and are done for companies with an incomplete business model, poor documentation, small customer base, technology that needs work, inconsistent and unpredictable growth, poor profits and even substantial losses or debt. Corum often has to work around these difficult problems.
However, if you don't have to sell now, consider the benefits of taking time to solve the problems that sophisticated due diligence will uncover and to build a company that will appeal to the strategic buyer - an enterprise that will sell for maximum value.
Corum has 18 years of merger and acquisition experience and the most meaningful research in the industry. We know why buyers don't buy and what keeps prices low. We know the problems that hurt transaction value and result in poor deal structures, and we know how to fix them. We are able to calibrate what works and what doesn't, and why firms buy and pay strategic prices and why investors invest. We learn this every day from client engagements worldwide and with our extensive work with venture capitalists. Furthermore, we are able to validate our views and model assumptions as the leading educator in the industry through our Selling Up Selling Out conferences, Merge newsletter, and frequent co-sponsorship of other events.
Thus, while we are not primarily a consulting company, because of our deep experience (most senior staff are former CEO'S), daily market interaction, and transaction experience, we are in an ideal position to counsel firms on how to best prepare and position their firms for sale. Furthermore, since we have represented some of the most successful firms in the software/IT world, we can draw on the advisory board expertise of hundreds of past clients to help you.
The process we have developed to prepare for a transaction is called the Strategic Audit. The Strategic Audit surveys your customers, employees and your business partners to uncover the issues that are holding you back. A good buyer will do this in due diligence, so it's wise to do it ahead of time and professionally, with trained experts analyzing the results. The audit also includes a review of the operational, marketing, sales, services and technical aspects of your company...the business model. The review will be complete enough to identify red flag items that could either kill a deal, or adversely affect the company price or transaction structure.
The end game for the Strategic Audit is to develop the plans to solve the problems and we can follow through on a periodic review basis to help you carry out the plan.
What is your exit strategy? Are you ready to execute it? If not, and you would like to be, feel free to contact any of the Corum professionals to discuss your options, with no obligation.
Feel free to contact any of the Corum professionals to discuss your options with no obligation.
"Corum not only helped me identify a variety of buyers for my technology, ranging from dot.com startups to established blue chip firms, but also provided invaluable counsel on the trengths and weaknesses of the various potential acquirers. Their experience in the Internet market helped me negotiate a very successful outcome."
Derek Penn
Derivative Insights
"Our use of the Corum Group turned out to be a great choice. The experienced and expert guidance on the company's deal negotiations satisfied even our most difficult shareholders."
Steve Abbott
Specialty Insurance