How the Best M&A Advisors Deliver

An excellent article from John Carvalho of Stone Oak Capital on how the best brokers / M&A Advisers deliver great results for their clients.

I have to admit that I spend an abnormal amount of time thinking about M&A transactions. I obsess over different deal structures for my clients. I wake up in the middle of the night with epiphanies on how to attract more qualified prospective buyers. I actively seek out conversations from others that can debate the finer points of how to effectively execute the sale of a business.

I have turned into a complete deal junkie, stressing most of my personal relationships to pursue excellence in this discipline, so believe me when I say that I take this stuff very seriously. As an investment banker, I believe my main objectives are maximizing purchase price and negotiating the best terms for my clients.

He goes on to explain, in some depth, what the value drivers are in deals, and how a competent adviser can add value.

What makes the different between an average adviser and one who excels? In the preparation phase a top adviser will work with management to prepare the company and decide best time for an exit (taking into account economic, industry and other factors. He will “review the objectives, constraints and concerns of the company shareholders;
prepare a preliminary assessment of the minimum purchase price that the company could expect …develop an analysis of potential transaction alternatives …summarize the most likely transaction structure and terms to be obtained from prospective buyers”

But that’s just the start. Read the rest of the article to find out more.