2023 was a year with plenty of challenges for private equity and M&A as a whole:PE capital deployed in the US declined by 29.5% on the year and value derived decreased by 26.4% PE borrowing rates have remained high and are still near double...
2022 was a year with plenty of challenges for private equity and M&A as a whole:The growing valuations of late 2021 were stunted by the fastest-tightening cycle in 40-plus years. PE borrowing rates increased to double the levels at which they stood at the start...
Many private-equity transactions are structured as an equity purchase (e.g., stock) rather than as a direct asset purchase. Sellers often prefer an equity sale because they expect to receive preferential capital gain treatment on any resulting gain and typically require a gross-up for any ordinary...
Selling your business externally to a 3rd party buyer/investor, more often than not, yields the highest value. It is a common strategy among business owners who are looking to diversify their personal financial risk and those who recognize that “going it alone” is no longer...
Business owners often dread telling their various stakeholders of their intent to sell the business. Done poorly, this process may negatively impact the business or deal process. Taking time to craft a strategy for informing stakeholders will help mitigate many of the risks associated with...
Ownership for key employees can be an instrumental strategy to retain and attract top talent within your business and increase value over the long term. When tackling key employee planning with our clients, our fundamental goals is to use these 8 steps as a foundational...
Unlike a formally structured board of directors, an advisory board is a less formal group of outsiders (to the company) that is organized to provide owners and corporate leaders with support, advice and assistance. While Boards of Directors have legally defined responsibilities, control and fiduciary...
It is estimated that over half of all business sales fall apart during the due diligence phase. This can be demoralizing to a seller that has spent countless resources on positioning the company for sale, polishing the marketing materials, and negotiating the Letter of Intent....
We have put together a list of earnings adjustments that may be impactful to your business value. When considering EBITA adjustments, add backs are not uniform and whether or not an add back is used depends on the normal practice within a company’s industry. In...
Many owners start their business with an end goal in mind. They anticipate growing the company over the years with the assumption that, when the time is right, they would sell the company to family, other partners, or to a third party. However, as the...