Optimal

M&A Advisory

  • Home
  • Insights
  • Deal Room
    • Businesses Wanted
    • Businesses For Sale
  • Newsletters
  • About Us
    • Our Team
    • Client Testimonials
    • Industry Activities
    • Capabilities
    • Our Expertise
    • Executive
      • Executive Membership
  • Contact

Letter of Intent (LOI) must be Thorough

The importance of executing Letters of Intent (LOIs) that thoroughly address all relevant business terms cannot be overstated. The LOI should not be an invitation to further negotiate issues it does not explicitly cover. Rather, it should be the final culmination of the negotiation of business terms, leaving no room for ambiguity particularly in the […]

Author: Jonathan Seddon 08/12/2021 Filed Under: Sell Tagged With: business sale, selling a business

The Halo Effect

…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“.  […]

Author: Jonathan Seddon 26/04/2021 Filed Under: Buy, Leadership, Sell, Strategy Tagged With: strategy

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 […]

Author: Jonathan Seddon 18/03/2021 Filed Under: Buy, Sell, Transactions

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. […]

Author: Jonathan Seddon 10/02/2021 Filed Under: Buy, Sell, Strategy

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 […]

Author: Jonathan Seddon 16/12/2020 Filed Under: Buy, Sell, Strategy, Transactions Tagged With: M&A Advisory

Selling your Business, do what you do not know what to do.

“Do what you do not know what to do” may seem a tongue twisting paradox, challenging to articulate but far more difficult to action as is the reality of change. The decision to sell a business is complicated. It is doing something in which you don’t have much experience. It is doing something that you […]

Author: Jonathan Seddon 14/01/2020 Filed Under: Sell Tagged With: selling a business

It’s only agreed when it’s all agreed – M&A Deal Making

It's only agreed when it's all agreed

M&A negotiations can become acrimonious when you get to finalising detailed documentation. This often arises due to surprises in DD or differences in understanding of a letter of offer, or, the letter of offer misses important items. This may cause delays and changes to price with the deal eventually called off. Significant costs are incurred […]

Author: Jonathan Seddon 08/11/2019 Filed Under: Sell Tagged With: business sale, Business value, selling a business

Formula or Number when Pricing M&A Deals?

Should business sellers use a formula or number when pricing M&A deals? Prospective buyers and sellers each have their own methods, rules, calculations and process for determining prices, values and offer ranges. Offers may be structured as a calculation of past and future earnings. For example, one buyer may value a company on trailing twelve […]

Author: Jonathan Seddon 22/08/2019 Filed Under: Sell

Buyer Exclusivity in M&A Deals, What are the Risks?

Virtually every M&A deal has a buyer exclusivity period meaning that the seller agrees to discontinue marketing and to stop actively looking for buyers. This is also known as “no shop” period during which the seller agrees to exclusively court the selected buyer preventing their soliciting, negotiating or entering into agreements with other buyers. There […]

Author: Jonathan Seddon 22/05/2019 Filed Under: Sell, Transactions

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 […]

Author: Jonathan Seddon 31/01/2019 Filed Under: Buy, Sell, Transactions Tagged With: business sale, Business value, Normalised EBITDA, selling a business

Next Page »
Subscribe to our Quarterly Newsletter
M&A Insights and Recent M&A Deals
 

Contact
Jonathan Seddon: +61 418 597 120

Simon Wilson: +61 425 833 631
email: info@gotoOptimal.com.au
 
  • Deal Room
  • Our Capabilities
  • Executive
  • Our Team
  • Newsletters
  • Contact Us

Copyright © 2022 Optimal Business Advisory | www.gotoOptimal.com.au

7 Important Questions on How to Sell a Business

    Your Name (required)

    Your Last name (required)

    Your Email (required)