Our process
From first meeting to closing, and beyond.
A sale typically takes about nine months from engagement to closing, and anywhere from six to twelve. Here is what happens at each stage, what we do, and what we ask of you.
Sell-side process
The stages of a sale
Preparation
About 4 weeks
What we do
We gather, organize and index your financial and operating data. Some engagements also include a quality of earnings review at this stage.
What you do
You provide the initial data to us and to the quality of earnings firm, if one is engaged.
Marketing materials
About 4 weeks, alongside preparation
What we do
We write the teaser and the confidential information memorandum (CIM) that present your company to buyers.
Buyer outreach
4 to 6 weeks
What we do
We contact buyers confidentially to gauge interest, have interested parties sign a non-disclosure agreement, distribute the CIM and field their questions.
What you do
You answer only the questions about the business that we cannot.
Indications of interest
What we do
We compile first-round bids side by side in a single matrix and walk you through every offer.
Management meetings
1 to 2 weeks
What we do
We prepare you for each meeting: likely questions, topics to avoid, questions to ask, and what should and should not be shared.
What you do
You meet the shortlisted buyers over the course of a week or two.
Letters of intent
What we do
We compare the letters of intent side by side, walk you through each one and negotiate with the buyer best suited to your goals.
What you do
You review the offers and choose your partner.
Diligence and purchase agreement
90 to 120 days
What we do
We quarterback the diligence process, protect the agreed valuation and carry as much of the diligence burden as possible. We negotiate the legal documents alongside your counsel.
What you do
You provide or update the information that only you can.
Closing and beyond
What we do
We stay involved after closing through the working capital true-up, typically 90 days, and through any earnout, however long it runs.
What you do
You begin working directly with your buyer or new partner.
How we run it
What you can expect from us
Confidential throughout
Every engagement runs under a code name. We correspond through your personal email, every buyer signs a confidentiality agreement, and your staff are brought in only on a need-to-know basis.
Broad or targeted, by design
Some sectors call for a broad auction; others have only two or three natural buyers. We shape each process to the sector and to your wishes, and typically narrow first-round bids to six or fewer letters of intent.
Competitive after exclusivity
Signing a letter of intent does not end the competition. We keep the other bidders engaged and hold the chosen buyer to a tight timeline.
You will hear from us
The Managing Director leading your engagement is involved at every stage, and you will hear from us at least weekly.
During the process
The most common mistake
Owners sometimes change how they run the business once a sale is under way. Keep operating in the ordinary course, as if you will own the company forever. Buyers are watching your results right up to closing.
Before the process
Start the conversation early
If a sale is one or two years away, now is the right time to talk. The steps below protect value, and we are glad to help you prioritize them.
- Log and track add-backs and adjustments to earnings as they happen, not when a buyer asks.
- Talk to a financial planner or wealth manager about tax planning well before a sale.
- Keep your foot on the gas. Sustained profitability through the process protects value.
- Get organized: corporate documents, payer contracts, employee contracts, insurance policies and vendor agreements.
Considering a transaction?
A confidential conversation with a senior banker is the best place to start.