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COVID-19 Update

By Generational Equity

COVID-19

Dear Insight subscribers, 

We wanted to give you our perspective on what is top of mind for many business owners these days – the COVID-19 (CV) situation.

During uncertain times like these, it is important to remember that the underlying fundamentals of our economy are thankfully strong and should give us the resources that we need as a society to overcome and defeat the current CV challenge.

Keep in mind that this is not a banking/financial crisis as we faced in 2008. Overall, corporate balance sheets are strong, interest rates are very low, and capital is available for both business growth and acquisitions. Most importantly, the banking system is extremely stable and reserves are well above Federal guidelines. In addition, anticipated stimulus from the Federal and State governments should also bolster the economy.

As for our business, we created contingency plans years ago which guide us as a company and helps us be well-prepared for situations such as this.

If you are a client, rest assured that we are working hard to keep our business operations functioning at a high level. The Company is actively taking steps to ensure the safety of our associates, while continuing to focus on serving our clients with excellence. The importance of planning is paramount for all businesses, which we emphasize in our M&A meetings. The business continuity plans we have in place for situations like this are working well and you should feel no impact.

If you are not yet a client, and are considering what you should do with your exit plans given the current environment, rest assured that our team is ready to guide you forward no matter what the external circumstances may be. The important takeaway is that business owners who begin planning an exit strategy early reap rewards, no matter what external factors are at play. We have never met a business owner that regretted starting the planning process too early.

Although we don’t have a crystal ball, from a business perspective we expect the market environment to be dynamic and potentially volatile over the next several weeks, but we do not expect any long-term impact to the business environment. Again, the underlying macro- economic fundamentals are strong and that, combined with low interest rates and surplus capital, should bolster M&A activity going forward.

Know that we are here to guide you through this time as it relates to your exit strategies. We are continually monitoring events as they unfold and will provide further updates moving forward. Here is a link that you may find useful:

CDC Resources for Businesses and Employers

We wish you, your business, and your loved ones' safety and good health during this time. In the midst of challenges there are always blessings and opportunities. This situation is no different. History shows us that this too shall pass, and that when it does, we will emerge stronger than before.

Your Generational Team

 

I couldn’t have asked for a better team than Michael and Deborah. We couldn’t have done it without them.
Robert Evans, President and CEO of Mealtracker Dietary Software
Thank you again for all your guidance and support. Any company will achieve what they intend, if they have you on their team!
Rick Nowak, President/CEO, Kurz Electric Solutions, Inc.
I quickly recognized that Don was working for Sharpe Mixers above all else, and held our interests above others.
Jay Dinnison, Owner of Sharpe Mixers
Tom Staszak is one of the most professional people I have dealt with in my last forty years of business. You’ve got a great group of people and you have built a truly professional organization.
Michael J Polarek, President, Paragon Packaging
We will highly recommend Generational Equity and Musa Jagne to any business owner about to embark on the same process.
Karen S. Williams, CFO, BW Manufacturing
Thanks again Phil and feel free to have a future client call me if they would like a referral. You are a true professional!
Andy Graham, Vice President, Modern Heating & Plumbing
We knew it would be a difficult task to have someone really understand our business and our market, prior to researching a possible buyer, so it was imperative that we found someone of your caliber, with definite proven experience in this area.
Rick Nowak, President/CEO, Kurz Electric Solutions, Inc.
I would like to thank you and your firm, Generational Equity, for being our valued advisors in our journey.
Bil MacLeslie, CEO, ipHouse
I must say that I have never worked with a more driven, competent and focused individual as Don Ho.
Jay Dinnison, Owner of Sharpe Mixers
We thank you Eric and Generational Equity making our dream come true.
Larry Moore, Owner, A Company Portable Restrooms
We are very happy with the end result, and are very happy to be able to move forward with all of our future growth plans.
Rick Nowak, President/CEO, Kurz Electric Solutions, Inc.
The help you provided us during each step of this process made us feel very comfortable and confident we were selecting the right approach to transition our Company.
Andy Graham, Vice President, Modern Heating & Plumbing
Generational Equity’s assistance was invaluable in compiling and marketing our business.
Bil MacLeslie, CEO, ipHouse
Michael worked tirelessly, He followed every lead meticulously and urgently to make sure nothing was missed.
Robert Evans, President and CEO of Mealtracker Dietary Software
We were happy to see the interest in our company and what we cherished has not just a valuable company but an important company to the communities we served in.
Larry Moore, Owner, A Company Portable Restrooms
The process was much more involved than I expected and your help, experience and advice was a big factor in making the negotiations go as smoothly as possible.
Terry D. Wickman, President, Keytroller
Generational Equity educated and informed us – so that we could be on the upside of a good decision (to sell).
Bil MacLeslie, CEO, ipHouse
Greetings Mike. Thank you for the captivating and compelling presentation you made at the Phoenix presentation last week. Over many years in business yours was the most informative and well-presented presentation, on any subject, that I have ever attended! Your energy and enthusiasm combined with your concise and captivating support of your positions with easily understood examples and data was compelling.
Pete L.
Your wisdom and experience were invaluable to me during this once-in-a-lifetime transaction.
Ralph Noblin, President of Noblin & Associates
Bruce and I wanted to take this opportunity to thank Generational Equity for assigning Musa Jagne to our transaction. In Bruce’s words, “Musa did one hell of a job for us!”
Karen S. Williams, CFO, BW Manufacturing
I wanted to write you a quick letter to express our appreciation and our delight on the outcome of helping us through the process of our recent sale. We are very happy with the end result, and are very happy to be able to move forward with all of our future growth plans.
Terry D. Wickman, President, Keytroller
We are extremely pleased with the way Generational Equity handled the sale of our company. Your associates, Tom and Chris, did an outstanding job of getting us (me) through the process.
Michael J Polarek, President, Paragon Packaging