Can I afford to buy a business? Answering this and other important questions can be made easier by engaging with a merger and acquisitions (M&A) firm. An M&A expert works directly with buyers to identify and match the right company. Whether you’re an individual, strategic or a private equity buyer, M&A experts deliver the market research, identify potential acquisition targets and can secure financing for a buyer’s sales transaction. What are the benefits and strategies of using an M&A advisor? Purchasing a privately held business requires confidentiality, understanding the market and successfully closing the deal. An M&A advisor works with the buyer to:
* Define Goals
* Identify Targets
* Marketing
* Screen Targets
* Deal negotiation
* Due Diligence
* Closing Coordination
Matching a buyer and seller requires research, planning, and time to identify the appropriate deal structure. Is this your first sales transaction? Consider the many benefits of buying a business, including:
* Growth opportunity
* Existing customer base
* Access to Proprietary product/high barriers to entry
* Cheaper to buy than start-up
* Trained staff
* Employment
Chicago Market
Crain’s List of 2014 privately held companies in Chicago focused on firms in six countries, including Cook, DuPage, Kane, Lake, McHenry, and Will. The list identified 303 companies with a combined total of $365.5 billion in revenue last year. The 303 companies employed more than 140,000 people in the Chicago area. Of the 303 privately held companies more than three-fourths had an increase in revenue from 2013.
Know the Market Before You Buy
An M&A advisor provides a buyer with the expertise to prevent overpaying, missing a good deal, acquisition inefficiencies, or other offer related issues. Whether you are part of an investment group or high net-worth individual, an M&A advisor is your business partner. They will customize and design a process to deliver success. You will have the confidence and security of knowing that your business purchase was based on a sound investment advice. These firms leverage their marketing research and partnerships to identify potential acquisition companies from start to finish. They keep your deal on track. There are many factors and discussions that preclude a decision to buy a business. Chicago is thriving with over 300 privately held businesses. Don’t go it alone, consider partnering with an M&A firm and benefit from their knowledgeable resources and best-in-class customer services.
