Insights & Info

Insights > How to Be Part of the M&A Deck Reshuffle

How to Be Part of the M&A Deck Reshuffle

By Generational Equity

M&A Deck Reshuffle

Recently our friends with Vistage (the leading CEO coaching and peer advisory organization in the world) published an article on how you need to be more intentional than ever before to participate in the M&A “reshuffling” of the landscape of countless industries worldwide.

As we all know, professional buyers in the M&A industry have used acquisitions as the fastest, most efficient, profitable way to gain and grow their market share for decades. History is filled with brilliant business leaders and visionaries who have seized on opportunities to grow their positions in the industries that they operate in.

The current environment is “frothy” with aggressive buyers and willing sellers trying to position themselves to take advantage of these opportunities. The key for both parties in the transaction though is to have professional representation, especially in this environment where buyers are very aggressive and EBITDA multiples have gone up. Here is how the Vistage article described it:

Surround yourself with professionals. Whether you are a buyer or a seller, it’s critical to hire the right investment banker and transactional attorneys. Pay the price; the right advisors are worth their weight in gold.

And alongside that fantastic point, they say:

Understand the underlying consolidation in your industry. Pre-pandemic, US deal flow focused on vertical integrations. It’s important to understand how various business combinations will reframe your industry.

I think both of these points go hand-in-hand. Having the right advice, from experienced professionals, will help you know who the buyers are in your industry and, most importantly, what/why they are buying.

This is especially true if you are the owner of a privately held company in the market today that has never successfully closed a transaction before. Buyers are under no fiduciary responsibility to help you obtain maximum dollar for your company. In fact, quite the opposite is true. 

To protect your financial interests, to negotiate the best deal for you possible, and to find the buyer that makes sense for your company, you need sound seasoned advice. As the author with Vistage pointed out above, “Pay the price: the right advisors are worth their weight in gold.”

So at this point in the M&A cycle, you need to learn as much as you can to not only protect your interests, but also to find the optimal buyers for your business. Fortunately, Generational offers complimentary, no-obligation growth and exit strategy planning conferences to help you learn as much as possible about how to benefit from the current cycle.

Call us at 972-232-1121 or reach out to us on our website to learn how we can help educate you and your team on growing your business to be buyer ready.

Note: Generational and Vistage have a strategic alliance to help business owners intentionally grow their companies and optimize an exit at the appropriate time. For more information on the relationship please visit: https://www.genequityco.com/strategic-alliances.

Carl Doerksen is the Director of Corporate Development at Generational Equity.

© 2021 Generational Equity, LLC All Rights Reserved

Make an informed decision

The best decisions in life are informed decisions. We release educational business insights like this every week. Subscribe to make sure you don’t miss the latest news, views and analysis.

Success

Success, you have been added to our list.

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
We thank you Eric and Generational Equity making our dream come true.
Larry Moore, Owner, A Company Portable Restrooms
Generational Equity educated and informed us – so that we could be on the upside of a good decision (to sell).
Bil MacLeslie, CEO, ipHouse
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
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.
T.D., thank you so much! You are a great leader! I love how you are using your gifts and talents to better others. You are clearly a GREAT COACH! This 3 day session undoubtedly changed the future of our business, and very well may have been the sole catalyst to save my company, my health and my marriage! A genuine “thank you” from the bottom of my heart.
Bryan D. Horn, Owner, Over Under Clothing
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 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
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
I need to say an immense thank you to Don Ho for his stellar work ethic, attention to detail, and tireless effort. Also thank you to the whole crew at GE! Without you, Don could not do such a phenomenal job. We were shooting for closing and funding before the end of 2020, due to the uncertainty of the political landscape and taxes. I am happy to report we closed last week and will be funding tomorrow.
Dr. Caty J. Catron PhD, RN, VA-BC – Owner, Vic The Picc, LLC
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
Generational Equity’s assistance was invaluable in compiling and marketing our business.
Bil MacLeslie, CEO, ipHouse
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
I would like to thank you and your firm, Generational Equity, for being our valued advisors in our journey.
Bil MacLeslie, CEO, ipHouse
I am pleased that I was able to work with Andrew Byrd throughout this experience. From the first meeting we had in Minneapolis I felt that I was in good hands. His knowledge and expertise is second to none. He guided the process consistently throughout. I feel lucky that I was pared with Andrew and could not be happier that I chose Generational Equity to handle this major life event. Thank you Andrew and GenEq for everything!
Eric Erlandson, Owner, Action Fastenings, Inc.
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
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
Dear Chris and Andre, I just wanted to say thanks for all your help. Even though this process was not an easy one, it was comforting to know that I had a capable team standing beside me. You made me feel like we were almost your only client or at least the most important one. Thanks again, and I will recommend your service in the future.
Shenille Engelhart, Owner – CLS Technology
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.
Your wisdom and experience were invaluable to me during this once-in-a-lifetime transaction.
Ralph Noblin, President of Noblin & Associates
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.
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.
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
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
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
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