…and the Eight Other Business Delusions That Deceive Managers. Phil Rosenzweig Free Press 2014 For a change, this month’s M&A insight is a book review. A book review that confirms the reservations that many successful managers and owners have about famous bestsellers such as Tom Peters’ “In Search of Excellence” and Jim Collins’ “Good to Great“. […]
Real Time Instruments’ new investor RCF Jolimont II to propel growth.
10 March 2021 – Australian company The Realtime Group Ltd (Realtime), advised by Optimal Business Advisory, announced today it has completed the sale of a majority stake in the company to RCF Jolimont Mining Innovation Fund II L.P. (RCF Jolimont II). RCF Jolimont II is a global, specialist investor in high-growth mining equipment, technology, and […]
Berkshire Hathaway Acquisition Criteria – Plain and Simple
Below are the Berkshire Hathaway Inc’s acquisition criteria quoted from their 1982 annual report. The criteria, other than dimension changes, were published annually for the following 35 years in Warren Buffett’s Chairman’s Letter to shareholders. In the 1983 annual report Warren wrote “Last year in this section I ran a small ad to encourage acquisition candidates. […]
M&A 2020 – Complex Perception? There’s always a crisis!
The world of M&A and business in 2020 was certainly challenging, rapidly changing and transforming from one perspective to another, cleverly depicted in M.C Escher graphic above. How do you view it – top to bottom, bottom to top or left to right…? Perceptions were influenced and challenged by daily news spin of “experts”, government […]
Business Sale Price Multiples
Business sale price multiples are functions of “factors” such as earnings, EBITDA, EBIT, revenue or some other multiplier, neither of which are “set in stone” and are not precise. Factors and multiples vary with every business sale depending on many issues and the structure of each unique business deal. In pricing a business using EBITDA […]
M&A Buy-Side Fees, Risks and Challenges
For M&A Advisors, buy-side representation is inherently more problematic and risky than representing a sell-side client. On the sell-side, an advisor is representing something other people want (always an advantage). When representing the buy-side, we are trying to acquire something someone else owns and perhaps others are interested in too, obviously not as good a negotiating […]
Anyone Can Do M&A – Right?
A middle market business owner who chooses to represent himself in the sale of his own business will never know the value of the offer never received, or the deal terms that never were negotiated or the financial sum he left on the table. Why do owners shun M&A Advisor or engage inadequate inexperienced professional […]
Confidentiality and M&A – Managing Information Disclosure
Typical confidentiality stages in an M&A Sale Program are defined by the phase of the sale process. Confidentiality and M&A, the managing of confidential information and who can access company confidential information is a key activity managed by the M&A advisor as part of the M&A sale process. Key documents provided to prospective buyers in […]
Confidentiality Agreement and M&A
Confidentiality is of key importance in deal making and although often considered as a “side-bar” issue, is a foundation to a successful M&A process. When managing a competitive sale process, managing confidentiality allows sellers to maintain negotiating leverage while maximising deal value and terms while ensuring no future damage by unsuccessful buyers. M&A deals […]
What is My Business Worth?
Are you preparing for a business sale? A key question you may ask is “what is my business worth“? The answer, which you probably don’t want to hear is “it depends”! Several factors influence the price of a business. “Environmental” Influences “Environmental” influences impacting business values are of both an internal and external nature. External environment includes the type of buyer, […]