Our Approach
Key Stages of the Business Sale Process
Strategic Planning
With numerous options available for structuring a business sale, we work with you to understand your transaction needs and goals. This involves:
- Identifying exit strategies aligned with your strategic objectives and financial requirements
- Setting realistic valuation expectations
- Anticipating potential transaction hurdles
- Planning the timeline for the sale
- Assessing anticipated tax implications
- Determining your desired level of future involvement with the company or equity retention
Valuation Assessment
At INFRR, we believe that fair market value is merely the starting point. By targeting multiple strategic buyers who can leverage synergistic benefits, we often achieve transactions that surpass this value. We conduct an in-depth analysis of your firm’s strengths, tangible and intangible assets, financial performance, and growth prospects. Utilizing proprietary databases, we compare purchase prices of similar companies to provide accurate market insights. This knowledge equips our clients with clear valuation expectations even before the sale process commences.
Financial Analysis and Presentation
Accurately interpreting and presenting financial data is crucial for maximizing value. Financial statements typically prepared for tax purposes may not reflect a company’s true profitability and earning potential. Buyers must decipher these statements to fully understand the cash flow generated for the owners. We focus on presenting “re-cast earnings” to highlight the true financial performance, often identifying additional value-enhancing opportunities along the way.
Business Packaging and Presentation
A well-packaged and professionally presented business instills confidence in prospective buyers. Years of building brand recognition, market niche, vendor relationships, operational systems, management structures, personnel, distribution channels, and customer loyalty culminate in a unique business story. INFRR crafts a comprehensive Confidential Information Memorandum (CIM) to illustrate your company’s competitive advantages and growth potential, enhancing its attractiveness and perceived value while ensuring all materials protect confidentiality.
Identifying and Vetting Potential Buyers
Leveraging our extensive network of strategic buyers, private equity firms, and financial investors, we compile a highly targeted list of potential acquirers. Through proprietary and licensed databases, as well as other resources, we identify and prequalify buyers based on their interest and financial capability. This rigorous vetting process ensures serious inquiries only, maintaining efficiency and confidentiality.
Negotiation Facilitation
A skilled intermediary can significantly improve the financial outcomes of a transaction. We engage with multiple interested parties to enhance your negotiating leverage. Our involvement allows you to remain focused on your business operations, while we handle the complexities of the negotiation process, ensuring an optimized deal structure.
Due Diligence and Contractual Discussions
Once a suitable buyer is identified, we work alongside your legal and professional advisors to finalize the sale. This includes drafting Letters of Intent (LOIs), facilitating due diligence, managing contract negotiations, and ensuring a smooth closing process. INFRR sets up a secure, confidential data room to efficiently handle all due diligence documentation.