Prioritizing client education to empower decision makers throughout their transaction

Cash is always king, but this is especially true in times of crisis. Liquidity for your company is critically important, and banks provide a path to liquidity. You must ensure your relationship with your banker is strong so you can survive your bank debt in this pandemic.

As COVID-19 continues to upend any sense of routine, the phrase ‘business as usual’ no longer makes sense. Business owners and executives are being forced to adapt daily to a changing economic and health environment.

There is no doubt that we have quickly moved from a period of stability and growth to one of economic uncertainty and retrenchment as a result of COVID-19. The economy is heading toward a recession, if it is not in one already.

We get the same question from every prospective client. The question is not surprising given the sale of your company is typically a once in a lifetime event.  It stands to reason; you will want to understand your financial commitment before you undertake such a big step.

Business owners thinking about selling their company almost always have the same two questions:

1. How much is my business worth?
2. Can I trust the firm that I use to help me sell my business?

That is why PCE provides a free business valuation before engaging with clients. The valuation enables you to be better informed when making critical decisions and helps you determine if now is the right time to sell. A preliminary business valuation ensures alignment on value expectations before you consider your exit strategy. The valuation also showcases how we operate at PCE. This is the first opportunity to demonstrate the value of our experience and knowledge and is the best way for you to decide if we’re right for your company. You can expect a reasoned fee proposal based on a realistic estimate of valuation.

The short answer is no. But it’s really not so simple. You might be running low on time, because there’s a recession coming. It’s just a question of when and how bad. As a business owner, you need to decide what your goal is: sell later, at a potentially higher valuation, or sell sooner and take what you can get for certain. Holding out for a higher price may mean waiting four or five years.

If you’re thinking about moving your company to the next level, you may be considering a partnership with a private equity (PE) firm to strengthen your business. But how do you determine which firm is the best match for your company — the firm that will enable you to achieve your strategic and financial goals? Although the process of finding the ideal partner can be challenging, knowing what to look for will help narrow your search considerably.

There are thousands of firms offering investment banking services in the United States. So how do you choose the right one or BEST one for you? Below, we describe the different categories of investment banking firms and provide a list of widely recognized firms that offer quality services. There are too many firms to list all of them. We used third-party research and have provided website links to the lists. However, these are not comprehensive lists of quality investment banking firms, so the absence of a firm name does not imply that the firm lacks competence.

Selling your business can be stressful and overwhelming, and many factors must be considered in this high-stakes transaction: timing, deal structure, and legacy goals are just a few. However, armed with knowledge and guided by experienced professionals, business owners can expect a profitable and efficient transaction. Be aware of the following preventable mistakes so you can anticipate and prepare for specific issues that may come up during the deal process.