M&A Mistake #8: No Strategic Plan by Jonathan Brabrand
Buyers seek to acquire companies at an inflection point, where their capital and partnership can make an exponential difference to the future of the business. Your ability to show potential buyers how you created strategic plans and executed upon them in the past will give them the confidence to believe in your current strategic plan […]
Transact Capital Advises Mapcom Systems on its Sale to Battery Ventures
FOR IMMEDIATE RELEASE June 9, 2020 Transact Capital Advises Mapcom Systems on its Sale to Battery Ventures RICHMOND, Va. – Transact Capital Partners, a full-service mergers and acquisitions advisory firm, is pleased to announce that Mapcom Systems has been acquired by VertiGIS, a portfolio company of Battery Ventures. Managing Director Jonathan Brabrand led the […]
M&A Mistake #7: Over-Emphasis on Price by Jonathan Brabrand
Ask any business owner what the primary goal of a sale process is, and chances are their top answer will be to maximize purchase price. And that’s understandable; a big payday is clearly one of the top reasons owners sell their business. But price is not the only factor you should consider when evaluating exit […]
M&A Mistake #6: Avoidable Surprises by Jonathan Brabrand
There are many reasons M&A deals fail to close. Macro factors, like changes in tax laws, an economic slowdown, or an unexpected rise in interest rates, can cause a transaction to fall apart. Likewise, a sharp decline in the buyer’s stock price, a change in strategic direction from their Board of Directors, a shortfall in […]
M&A Mistake #5: Pre-Judging Potential Buyers by Jonathan Brabrand
It is critically important for business owners to fully understand the various options available to them, both in terms of buyer categories and specific companies within each. Depending on the seller’s desired outcome, their options may include domestic and international strategic (corporate) buyers, private equity, and other types of financial buyers, or both. It also […]
M&A Mistake #4: Lack of Preparation by Jonathan Brabrand
First-time sellers are often surprised by the amount of work that needs to be completed at the beginning of an M&A process. Having labored over the decision to sell their business for months or even years, once the decision is made, they expect buyers to be contacted and the process to begin in earnest. They […]
M&A Mistake #3: Poor Positioning by Jonathan Brabrand
Positioning is one of the most powerful and yet most underutilized tools that business owners have at their disposal when selling their company. Positioning is your opportunity to set the stage for buyers, to paint the picture of why your business is special and what compelling growth opportunities exist for it going forward. Resist the […]
M&A Mistake #2: Having No Successor to the Owner by Jonathan Brabrand
One of the most important factors that I’ve seen in over twenty years of M&A that drives a successful exit is the depth and quality of the management team. While this certainly includes the owners if they are actively involved in the business, what matters most is the team that reports to them. And more […]
M&A Mistake #1: Waiting Too Long to Sell by Jonathan Brabrand
One of the most difficult aspects of a successful exit is determining when to sell. Rarely does an ideal buyer come out of nowhere offering a sweetheart deal, thereby deciding when to exit an easy one. Neither selling too soon, nor holding on too long, is ideal; both yield sub-optimal results. The key is recognizing […]
Top 10 M&A Mistakes by Jonathan Brabrand
Business owners often subscribe to a set of mistaken assumptions about how companies in general, and their company in particular, are sold. They believe that when they are ready to sell, the best buyer, or perhaps even their own employees, will jump at the opportunity to acquire the business and make them a great offer. […]