IS FOCUSED ON SERVING THE NEEDS OF THE MIDDLE MARKET
Selling a Business – One Chance to Get It Right
Owners of middle market companies selling a business have only one chance to get it right in what is likely the most significant financial transaction of their lives. The sale of a business is a big deal because it affects so many lives – especially the owners.
Blue River has the experience to efficiently guide business owners through turbulent waters of M&A transactions.
We represent middle market business owners with three overarching objectives:
Know The Client
Blue River never assumes to know what our clients need or want from a transaction – especially in multiple-owner settings. For example, cliché goals like maximum value may not reconcile with deeply held loyalties owners feel toward employees. Therefore, Blue River seeks to fully understand what a transaction must deliver to be successful
Not all buyers/investors or transaction types are the same. Blue River helps owners identify the best kind of acquirers and transaction types that closely align with their underlying needs and motivations
Blue River goes to work in the private capital marketplace to proactively deliver pre-designed outcomes
Get what you want, not just what you need
As a merger & acquisition advisor, Blue River has only one objective – deliver outcomes our clients truly desire.
Before going to market, Blue River clients clearly know what to expect in terms of company value, underlying motivations of stakeholders, transaction options, types of investors, tax strategies, reinvestment of post-closing proceeds options and more.
Once prepared, Blue River executes a customized process focused and tailored to the ideal buyers. Blue River’s knowledge, experience, and insight assure owners of outstanding negotiating support throughout the process. When positions appear intractable, Blue River can often provide alternatives that satisfactorily address blocking issues and will lead to desired outcomes.
“Elegant outcomes occur when owners fully understand their options and purposely pursue results aligned with their driving motivations.”
A brief overview of our process…
- Valuation Range, Seller Objectives
- Sell-Side Due Diligence
- Marketing Materials / Populate Data Room
- Develop Acquisitive Target Lists
- Contact Prospective Buyers
- Review Confidential Information Memorandum
- Receive Initial Indications of Interest
- Negotiate IoIs and Select Buyers for Continued Discussions
- Prepare Management Presentations
- Conduct Management Meetings / Site Visits
- Receive Letters of Intent (LOIs)
- Select Preferred Buyers and Negotiate Final LOI
- Provide Full Data Room Access to Selected Buyer & Commence Due Diligence
- Prepare Initial Draft of Definitive Agreements
- Finalize Due Diligence
- Finalize Definitive Agreements / Closing
Don’t Go It Alone
Blue River understands the transaction’s importance and expertly guides owners from the outset to an ideal outcome. Our efforts begin long before the business hits the market. We help owner’s probe, understand, and decide upon the best transaction outcome, so they can begin the journey with confidence and resolve.
Ownership transitions for middle market businesses are complicated. So many variables factor into crafting the desired transaction…
What Are The Tax Implications?
- How will a transaction be taxed?
- What can the owner expect to earn on reinvested after-tax transaction proceeds?
Who Is The Right Buyer For The Business?
- other shareholders
- private equity
- family offices
- direct institutional investors
- strategic buyers
- or someone else?
- a minority stake
- a majority stake
- or all of it?
- business reasons
- financial reasons
- personal reasons
- or something else?
What Options Are Available In The Capital Markets?
- minority, majority. or dividend recaps
- management buyouts or buy-ins
- generational transfers
- charitable remainder trusts
- strategic sales
- advanced tax strategies
- or something else?
How Much Should Ownership Expect?
- What is the fair market value of the company?
- How is value affected by all these different options and factors?
In the end, the optimal action may be presentation of the company to one of Blue River’s many acquisition clients, securing a majority or minority capital partner to support growth, placement on Blue River’s Private Exchange, running a full exit process, sitting tight and focusing on driving growth and identified value levers or pursuing one of the many other options available in the capital markets.