December 17, 2012
For Immediate Release
Bridge Ventures announced today that it assisted in the sale of a private hearing aid company based in West Virginia to a strategic buyer within the industry. Bridge represented the seller on an exclusive basis in the transaction. At the request of the parties involved, specific company names have been withheld. The transaction closed on December 14, 2012.
Craig A. Castelli, Managing Director of Bridge Ventures, led the transaction. Continue reading
Who do you need on your side when you decide to sell your business? We created this chart that we hope will serve as a useful guide.
You: The first member of the team should be fairly obvious: it’s you. If you own the company, you need to play an integral role throughout the process. Sure, you hire experts because you care about the success of the deal and you don’t have the time or resources to commit to it. Just make sure you have the final word on all major decisions.
Accountant: Your accountant typically plays a small role in the process. They will supply financial documents to your broker, answer questions about how the tax returns are prepared, and provide advice on tax matters right before closing.
Attorney: Selling your company is a legal transaction, and it is imperative that you retain an attorney to advise you on all legal matters. At the very least, you need your attorney to review and negotiate the Letter of Intent and Purchase Agreement, two key documents in the sale. In more complicated transactions, the attorney’s role increases.
Broker: You hire a broker because you have neither the time nor the experience to properly execute the sale, and a good one will manage the process from start to finish. He or she will value the business and recommend a pricing strategy; prepare all of the necessary marketing materials; find a buyer; negotiate the key terms of the deal; and, assist all parties through due diligence to ensure a successful close. By shouldering the workload, the broker allows you to focus most of your time on continuing to run your business, making sure it doesn’t miss a step.
Last month, we received the honor of being named Post Acquisition Firm of the Year by UK publication Acquisition International. Today, as I’m working with a client whose deal we closed three months ago, I took the time to reflect on how our responsibilities as brokers don’t end on closing day.
After closing comes integration. Integration can involve converting IT and Accounting Systems to new platforms and implementing new HR policies and operating procedures. At the very least, new ownership has to set up new bank, bill payment, and trade accounts; file legal documents; and manage the organizational and cultural change that comes with a new owner. Even the best integration programs are cumbersome tasks that create headaches at all levels of an organization, and the worst make you question whether or not the deal was actually worth it. A Seller’s obligations vary based on the deal structure, whether or not they will remain employed, and the level of assistance requested by the Buyer. Regardless, rest assured that as a Seller you have a vested interest in helping out with the integration, if for nothing else than to make sure your employees – and your legacy – are cared for. Continue reading
August 10, 2012
For immediate release
Bridge Ventures assisted in the sale of a Texas audiology practice to the local subsidiary of a national retail chain. The transaction, which closed on Thursday, August 9, involved the spin-off of an orphan location by an independently owned, multi-office practice in the Dallas/Fort Worth market. The parties involved requested that their identities be withheld from public announcements.
Managing Director Craig Castelli led the deal for Bridge. Continue reading
You’ve worked hard at your business, spent many years cultivating its growth and now you are thinking about selling. Just like running a successful business takes years of experience to learn, conducting a successful sales process to maximize your value does not “just happen” it is the result of a carefully orchestrated process.
Working with a professional Business Broker can save time, money, and increase the final price received. Some of the benefits of working with a professional Business Broker include:
- Maintain a Confidential Selling Process
- Properly Market the Company
- Market Knowledge
- Provide Overall “Deal Management”