What Company Owners Looking to Sell Need to Know
Selling a company is typically the single most significant financial event in a person’s lifetime.
In the second video in our new "IMAP M&A ACADEMY" series, Karri Vuori, Managing Partner at IMAP UK, explains the process of selling a company, providing a complete breakdown on the key steps involved:
Owner Preparation: Before embarking on a sale process, it’s key to understand your objectives and motivations, are you:
- A founder, family, individual shareholder?
- Looking to transition the business to the next generation, preserve the culture, maximize the price? Or perhaps a combination of the above?
- Looking to sell to Strategics, PE, or your Shareholders?
- Considering an IPO?
All the above must be considered and decisions taken, before moving onto the next step in the process.
Company Preparation: There are lots of key factors to consider:
- Tax implications
- Preparation of financial materials
- Communications with management team
- Ensuring customer relationships are documented/signed contracts are in place
- Vender Due Diligence
- Timing is crucial
Marketing: Here your IMAP M&A advisor helps to Create Value:
- Creating and positioning the company’s equity story – using the right KPIs, positioning, and benchmarking against other companies in your sector.
- Access and relationship to the right audience of buyers – positioning the story specifically to the buyer’s objectives and motivations
Closing. After carefully undertaking the previous steps, here your IMAP advisor Secures the Value:
- Structuring the transaction
- Terms of the transaction
- Closing mechanism
After we’ve helped you to get all of this right, you are set on your way to a really successful transaction.
