Buy-Side Advisory Services are designed to ensure a Purchaser buys a great business for a great price.
DRIVING DELTA leverages its experience as both a buy-side and sell-side adviser to ensure a Purchaser understands all it can about an acquisition target before making the decision to purchase.
Buy-Side Advisory provides a Purchaser:
Financial Due Diligence - designed to substantiate the accuracy of the financial performance and information provided by the target. Accuracy of this information is paramount in determining valuation and the purchase price and terms for the transaction.
Operational & Market Assessment - designed to gain a detailed understanding of the internal processes utilised by the target business and how that business is positioned and perceived by the market. This understanding will allow the Purchaser to better understand how successful the business may be after acquisition.
Strategic Outlook - designed to consider the potential of a business in the future. The likelihood of realising a future potential is the key driver in valuation. If there is significant potential for the business and it is likely that the business can achieve this potential, the more valuable that business is.
Valuation - With the information gathered above, DRIVING DELTA will apply several valuation methodologies to determine a value for the target business. A robust and dependable valuation is critical to ensuring a Purchaser does not pay too much for a business, but also to gain confidence of the level of financing a bank could provide for the purchase of the target if required.
Transaction Strategy & Negotiation - Again building on the above information, it is time for the Purchaser to decide if they would like to proceed with acquiring the target business. If the transaction is to proceed, there are several approaches a Purchaser can take to optimise the outcome. Deal fatigue is common for both the Purchaser and Target, as such it is beneficial for an adviser to be involved to ensure emotions do not lead to unwise decisions.
Post-transaction integration - With the target business now yours, you need to make sure you hit the ground running. DRIVING DELTA can assist with the capacity required to ensure the business under your direction is as successful (if not more successful) as it was prior to the transaction.
DRIVING DELTA principals have participated in several buy-side and sell-side transactions. Famous investor, and Warren Buffett's right hand, Charlie Munger once said "you make money on the entry". Get the entry right and success should follow.
For more information on DRIVING DELTA's Buy-Side services and how they can assist you, Reach out today!