Selling a Business


INTRODUCTION

The sale of a business usually represents the single most important and valuable transaction in the life of its owner(s). A business often represents a lifetime of hard work for the owner manager and a successful sale is critical to unlocking the equity value created over this period. We appreciate the importance of the sale of your business, and we work with you to prepare the business for sale, confidentially market and successfully sell the business.  We act on behalf of private business owners and institutions to deliver and preserve maximum value.

We tailor our sales process to our clients requirements in order to maximise value achieved. Stages involved in the sale of a business and how we add value are summarised below.

Preparation for sale / options review

Professionally preparing a business for sale before marketing improves the valuation.

How do we add value?

  • We undertake a thorough review to determine the best exit strategy for the business – as part of this process we identify factors that influence price, valuation and saleability
  • We provide a benchmark indicative valuation to enable shareholders to make an informed decision as to when to sell – our approach is to give you an honest/realistic opinion as to the value of the business rather than an inflated valuation to persuade you to commence a process
  • We can provide a detailed action plan to help you ready the business for sale – properly preparing a business for sale can considerably improve its saleability and valuation

Identify buyers

We research markets to identify credible buyers who are most likely to be interested in your business and to pay a strategic price.

How do we add value?

  • By using our dedicated in-house research function we identify strategic trade buyers by researching your market and associated sectors
  • Once we have identified potential acquirers we qualify the ‘credentials’ of all potential buyers before marketing

Produce sales documents

We have the experience of preparing a professional “Information Memorandum” designed to enhance potential offers whilst protecting commercially sensitive information.  We utilise our partners within World Services Group  (for whom we are the sole UK member firm) to access global acquirers.

How do we add value?

  • We prepare a comprehensive and professional information memorandum to positively position the business to potential acquirers
  • Having spent time to understand your businesses key value drivers, we sell these features to enhance the value of indicative offers received from buyers.  Very often we will position the business in different ways to appeal to specific acquirer groups
  • We are experienced in providing sufficient details to solicit strategic offers without disclosing commercially sensitive information

Confidential marketing

We only contact and ultimately send the information memorandum to approved buyers in a discreet and professional process.

How do we add value?

  • We only contact pre-qualified and client approved buyers
  • We contact potential buyers’ key decision makers (usually the Chairman, Managing Director or majority shareholder) personally to discuss the opportunity on a no names basis – this approach minimises market gossip and the damage that this can cause
  • Confidentiality agreements are obtained before parties join the sales process
  • Regular marketing reports are provided to our clients to keep them fully informed of the progress on their transaction

Negotiate offers

By approaching only credible buyers, we seek to create an auction process to maximise value for our clients.

How do we add value?

  • We handle all negotiations with prospective buyers allowing you to focus on running your business
  • By approaching only credible buyers we seek to create competitive tension between prospective acquirers in order to maximise the value of your business
  • All negotiations are conducted by our team of Partners who have extensive experience of negotiating good deals even with seasoned and experienced buyers
  • Once a deal has been agreed we draft Heads of Terms to ensure there is no ambiguity between parties as the process moves forward

Project manage process

Once a deal  is agreed in principle we actively manage all aspects of the process to maintain momentum and to enable us to defend value and ensure a successful completion.

How do we add value?

  • We proactively manage the sales process following the agreement of Heads of Terms supporting clients through to legal completion
  • Proactively managing the deal including the due diligence and legal process enables us to avoid any loss of momentum
  • We ensure that the legal/commercial issues are addressed swiftly and are not escalated.  We are there all the way to competion to see the deal delivered.

WHAT OUR CLIENTS SAY

"We spoke to a number of advisors before deciding to engage with Springboard. We felt that they had the required experience to look after us properly and were able to give us the personal attention we needed. We are delighted that the results vindicated our choice and would not hesitate to recommend their services."
David ShepheardIndecs Computer Services
"Springboard promised a partner led service and a professional sales process. They delivered on both counts, provided sound advice throughout the transaction and demonstrated considerable commitment to achieving a successful outcome."
Mike GallacherFirst Milk
"The sale of Portman was a complex transaction, Springboard provided excellent support to the institutional and management shareholders throughout the process. Their practical, partner led advice was invaluable in delivering a successful outcome."
Daryl CohenVision Capital
"Springboard provided us with outstanding support throughout the process of raising new investment. They showed great empathy with management and shareholders, yet were also tough enough on us all to drive us through the process. Their communication and negotiation style was outstanding."
Andy ReevesMuddy Boots Software
"We are indebted to Springboard for their professional and dedicated work in successfully bringing the two companies together. Their experience proved invaluable in addressing the complex negotiations whilst allowing the management team to focus on continuing to grow the business. I am in no doubt that Springboard saved us time and energy, reduced our stress, and worked tirelessly to achieve this outcome."
Brian McCluskieTollblend
"Springboard provided excellent technical support, leading us through the complexities of the deal and providing hands on pragmatic advice throughout. Their knowledge of the institutional buyer was invaluable in smoothing the way to a successful outcome. I would have no hesitation in recommending Springboard."
Simon DickinsonWorking on Wellbeing
“Springboard delivered exactly what they promised – a refinancing deal on our terms and in a timely manner. We are delighted with the outcome and would highly recommend Springboard."
Chris DavisDunlop Systems and Components
“The transaction would simply not have been possible without Springboard’s expertise and support over many months. They offered insightful advice every step of the way, from structuring a sensible offer, testing the deal logic, navigating the tricky parts of the negotiation and providing active guidance on fund-raising.  I am happy to give them a five-star recommendation.”
Rod Roberts-DearDearnleys and Pentel
“Springboard delivered a professional, partner led service.  They showed a detailed understanding of all aspects of the transaction and worked hard to ensure the expectations of Livingbridge and our fellow shareholders were exceeded.”
Louise KingstonLivingbridge
“We have worked with Springboard since completing the management buy-out in 2008.  They are highly reactive and have been instrumental in developing my business.  I see them as a trusted business partner and would have no hesitation in recommending them”
Chris KisbyEasy Autocentres