The Power of a Pause – Corum’s Unique Hiatus Program

During the M&A journey, a lot can happen. Markets shift, your business changes, buyers have concerns or input, you learn something critical about the competitive landscape. Maybe you get an offer that is then withdrawn or retraded, or don't get the offer you want until you make changes.

After 40 years of selling more tech companies than anyone in history, we've learned one crucial truth: Sometimes, the best move is to just hit "pause" and take time to improve your story.

Corum calls this Hiatus, and we're the only investment bank in the world that offers it.

This unique program allows sellers to go off market, make improvements based on buyer input, then go back to refreshed buyers with a better message and all without having to pay the initial start-up retainers. We're all former CEOs ourselves, so we can help. We really know what the buyers value. And don't worry! We'll keep your buyer discussions warm.

And the results? Often transformational.

Three Founders, Three Success Stories

We recently gathered sellers at the stunning Loreto Retreats in Baja Mexico to celebrate three founders who successfully sold their companies. During our time together, we reflected on their journeys—and discovered a common thread: each leveraged the Corum Hiatus Program to deliver dramatically better results.

Intelligent Observation: Closing the Gaps

When Seth Freedman first took his company to market, things looked promising on the surface. They'd experienced explosive growth. But there was a problem.

"We had not really positioned the business properly," Seth explains. "We had gone through a year of not only explosive growth, but accompanying churn in our business. We had to digest that churn, continue that growth curve that we were on to really position ourselves correctly for where we wanted to exit the business."

Intelligent Observation entered a one-year hiatus with clear objectives: continue aggressive top-line growth while shoring up the customer base to reduce churn. While Seth worked on the company, Corum kept the buyers engaged, updating them about the company's progress.

"Being able to go on to a program like a hiatus program with Corum really allowed us to not have to worry about finding a banker, starting everything over from scratch," Seth recalls. 

"And when we came out of hiatus, we just hit the ground running. We had all of the historical elements in place. The relationships were there."

When they returned to market, the buyer response was immediate.

"The market responded saying yes, we believe now that those issues prior are no longer part of the business model," Seth says. "And I think that just really affirmed for us that hiatus was a great program. The story didn't change so much. It was more closing the gaps that we had prior to going into hiatus, being able to say, hey, let us show you how we've now closed all of those gaps."

A strategic pause in the process resulted in the outcome Seth had hoped for. As Björn Lidefelt, EVP and Head of HID at the acquiring company noted: "Patients enter the hospital looking to get better, not to catch an infection. Welcoming Intelligent Observation into our RTLS portfolio enables healthcare providers to prevent hospital acquired infections and create a safer patient experience."

Certus Solutions: Turning Setback into Opportunity

Brian Allan's journey took an unexpected turn. The initial leg of the process was textbook perfect. Within four months, they had an offer and headed to due diligence. But then, their buyer had to withdraw.

"Our initial buyer had an event that required them to withdraw from the bid process," Brian remembers. "And so we were kind of forced into a hiatus."

But Brian turned this setback into an opportunity. The buyer, Egis, was still interested—just not ready to complete the deal yet.

"We entered into a strategic alliance with them to carry on with getting a lot of the benefits that we thought we were going to get from combining with them in the first place," Brian explains.

During the year-long hiatus, Certus and Aegis created joint industry solutions and began marketing together. The company transformed from a dominant player in Australia and New Zealand into one expanding into the Middle East and Europe, with North America on the horizon in the next two years.

When they returned to market—this time, creating competitive tension—the results exceeded expectations.

"I guess you could say it was fortunate that they did withdraw," Brian reflects, "because when we went back to market having created these new relationships, we actually had a different value proposition, and it resulted in us getting a better price for the company."

Pierre-Yves Massille, Egis CEO Consulting & Operations, captured the transformation: "The acquisition of Certus Digital is truly transformational in terms of the global asset management capabilities that Egis can now offer across our dual model of operating critical infrastructure and advising clients."

Flexagon: The Power of Multiple Strategic Pauses

Dan Goerdt's experience shows how hiatus can be used strategically—not just once, but twice—to achieve the right outcome. Flexagon first went to market in 2022.

"We had an offer, you know, there's a lot of good activity, but we didn't find the right buyer at that point in time," Dan says.

They entered their first hiatus going into summer, learned from the market feedback, and returned later that year, quickly finding a promising buyer—but with concerns about consistency.

"The buyer wanted to see some specific metrics and consistency," Dan explains. "We had a good trajectory, but the buyer and their decision committee wanted to see specific numbers and most importantly consistency over a period of time which was a three-month period."

Flexagon entered a second, shorter hiatus—just three months—to demonstrate that consistency. Dan and the Corum team also refined the company's positioning, going deeper into the Oracle ecosystem rather than spreading wide across multiple platforms. That focus resonated.

"We hit those numbers, came out of that and then proceeded to ultimately close the transaction relatively quickly after that," Dan says. "Being able to shore up the core strength of our overall value proposition, that certainly helped."

The result? A deal structure that met the shareholders' needs, with a private equity backer and a buy-and-build strategy for the future.

"It met our needs," Dan reflects. "There was refinement in there that was what myself and the other partners needed, the shareholders needed to be able to see that through."

As Daan Visscher, Investment Director & Co-head North America at the acquiring firm noted: "We are excited to partner with Flexagon to support the expected next phase of profitable growth. We are impressed by Flexagon's innovative solutions, the ability to provide for multiple software ecosystems, and strong positioning within the enterprise market."

What These Stories Teach Us

What do these three stories have in common? Four key lessons emerge:

Patience wins. Each founder recognized that they needed to take a strategic pause rather than settle.

Hiatus isn't starting over. Taking advantage of the Hiatus Program means you don't lose momentum. Relationships stay warm.

Buyers reward preparation. When you address buyer concerns and demonstrate consistent execution, offers improve—sometimes dramatically.

Flexibility is power. Whether it's a reset, a strategic pivot, or multiple tactical pauses, the Corum Hiatus Program adapts to what each company needs.

The Bottom Line? The journey isn't always a straight path. Sometimes, the smartest move is taking a pause, going on Hiatus, then moving forward stronger, with greater value to the buyer.

If you're considering an exit, you don't have to settle for less than your company is worth. Contact Corum today and discover how the Hiatus Program, and Corum's "never quit" attitude, can help you achieve the optimum outcome you deserve.