Corum Group

corumgroup-ltd's picture

Recent Blog Posts:

2015 Tech M&A Prediction Review
As always, we like to begin our year with predictions for what’s to come in the world of Tech M&A. Before we do that, though, we’re going to take stock of how well we’ve done in the predictions game previously. Last year, we began our Annual Report with seven tech M&A predictions for 2015.... Click here to read more
Posted by Corum Group, on 26 January 2016
New Series: Ten Critical Terms in any M&A Contract
With 300 transactions behind us and a dozen dealmakers who have been through countless twists and turns in the contract process, we recently distilled that experience into ten critical terms that you want to see in any M&A contract:   Allocating risk for seller contract assignments ​ Providing... Click here to read more
Posted by Corum Group, on 25 June 2015
Hardware Startups vs. Software Startups: Lessons from CNBC's #PowerPitch
During my recent appearance on Power Pitch, we looked at Ampy, a company building kinetic chargers—batteries that charge up through your movement, that you can then use to recharge your smartphone. It’s an interesting concept, but ultimately I was “out” on the deal, for reasons that provide more... Click here to read more
Posted by Corum Group, on 22 June 2015
Learning from Google: Three Keys to a Successful Business
When building a successful technology company, it helps to take lessons from other successful companies. Today, let’s take a look at Google. When it first started out, Google set up a toll booth on a new highway that had to be built when consumers started taking advantage of the Internet to... Click here to read more
Posted by Corum Group, on 8 June 2015
Targeting the Right Market: Startup Lessons from CNBC's Power Pitch
I appeared today on CNBC’s Power Pitch,  where along with two other investors I heard from Ayinde Alakoye, founder of Hitch Radio, on what he calls “the world's first instant messaging app for live broadcast radio.” You can see the full episode here – ultimately, I was the contrarian in the group,... Click here to read more
Posted by Corum Group, on 29 May 2015
What drives those huge startup exit valuations?
The valuation metrics for deals such as Microsoft's $100 million acquisition of Sunrise Calendar have raised plenty of eyebrows. The app-maker was "unencumbered by revenue", didn't seem to have significant barriers to entry, and only had 12 team members. However, valuations on this type of... Click here to read more
Posted by Corum Group, on 27 May 2015
When to Consider an IPO
When considering an exit, it is important to differentiate between an IPO and selling. An IPO is a funding event, not an exit.  Investors in public equities want a financial return (unlike strategic buyers, who will pay a premium for synergy value).  IPO is your best option if A) you want to raise... Click here to read more
Posted by Corum Group, on 20 May 2015
3 Reasons to Examine the New World of Tech M&A Buyers
Here at Corum, we're transactional. We've closed over 300 transactions. We're students of the market because the more we know, the more we can help our clients get deals done. And one thing the market has been telling us is that the world of buyers for technology companies is very different than it... Click here to read more
Posted by Corum Group, on 17 September 2014
Tech M&A Myth #6: Going to Market Too Early Can Hurt My Value
Let’s go way back, to Baron von Rothschild in France a couple of hundred years ago. He was quoted as saying, “I made my fortune by always selling too early.” Now let’s fast forward to the dot-com era. We sold two enterprise fax businesses in the space of about three months, took a third to market... Click here to read more
Posted by Corum Group, on 9 September 2014
Tech M&A: Being Interesting to Buyers Involves More Than Just Revenue
A common question we receive here at Corum is “What net revenue is needed to become interesting as an acquisition target?” or similarly, “I heard $10 million in net revenue is the minimum number you need to be acquired.” The truth is, although net revenue is an important factor in M&A, buyers... Click here to read more
Posted by Corum Group, on 22 August 2014
3 Signs You Need a Banker for Software M&A
All too often, we hear the same sad story: a CEO gets made an offer for acquisition, doesn’t think that he/she needs a banker or advisor for the deal, and then somewhere down the line… the deal falls apart. So how do you decide what path to take for you and your business? We’ve compiled a list of 3... Click here to read more
Posted by Corum Group, on 30 July 2014
Developing Relationships with Product Teams for M&A
Small companies with limited resources need to constantly focus or they will perish in the blink of an eye. Growing your business while planning an exit strategy is essential. CEOs need to be preparing for M&A even before their company is ready. Pursuing relationships with product teams of... Click here to read more
Posted by Corum Group, on 14 July 2014
Advisors, Incentives, and Best Practices in Tech M&A
If you have a well-established business, ideally you have already formed a well-connected advisory board whose interests are aligned with your own. They will help you at appropriate times with introductions and advice without putting their hands out. Recently, however, I’ve heard that some... Click here to read more
Posted by Corum Group, on 9 July 2014
International Companies & US Start-ups
Currently about 60% of tech M&A crosses borders, and valuations for those cross-border deals are 17% higher than domestic deals. Innovation is happening almost everywhere, creating a mass of emerging startups, and international buyers are very active. However, most of international activity has... Click here to read more
Posted by Corum Group, on 24 June 2014
Common Mistakes that Unknowingly Kill a Tech M&A Deal
Google, Yahoo, Microsoft, LinkedIn etc. currently get between 6 and 12 inbound proposals a day – not including the companies they proactively reach out to. Their time is very short, and they rely heavily on first impressions. If they get spooked, they walk away. In the current market it is... Click here to read more
Posted by Corum Group, on 18 June 2014
5 Things to Consider When Growing a Startup
I was recently asked by a CEO, what are the 5 things to consider when growing a startup to prep for a buyout exit strategy.  My first thought was, only 5?  But the question forced me to focus.  Here is my answer: 1) Recruit the right team. A quality team will execute well, and will be attractive... Click here to read more
Posted by Corum Group, on 13 June 2014
Talent Acquisition and Acqui-hires
You have tried and failed to raise money and/or sell the company, but one of your potential buyers indicates that they might be willing to hire the team. What do you do now? For many companies, this means an acqui-hire. Your job as CEO is now to convince them that in fact the team is strategic, and... Click here to read more
Posted by Corum Group, on 6 June 2014
M&A and Integration
Years ago I sold a company to 3Com. The CEO arrived at the 3Com campus for a 5:00PM meeting and security wouldn't let him in. He wasn't on any list and they couldn't reach the team to get him an escort. He was gone within months. This example shows precisely why “Integration” is one of the key... Click here to read more
Posted by Corum Group, on 4 June 2014

Pages

What's My Company Worth?

 Subscribe

Recent Posts

Archived Posts