Firms in the built environment engage us to sell their firms to strategic or private equity buyers that are a good fit and have a similar culture. Not only is finding the right firm to acquire your firm critical, so is integrating the two firms, transitioning your employees properly, and aligning the cultures to create a synergistic transaction (1+1=3).
Successfully selling your firm to the right buyer is a significant undertaking. From buyer introductions to negotiating a letter of intent to completing due diligence, integration planning, transitioning employees and negotiating the deal documents, we are with you every step of the way.
The Selling Process
After you officially engage us, we gather financial information from you to prepare a valuation so that we can tell you what your business is worth in today’s market.
After gathering operational and marketing materials from you, we have a video call with you to learn as much as we can about your business and your culture. We then prepare marketing materials to give buyers key details about your business to get them to the next step.
We utilize many proprietary and confidential marketing strategies when selling your business. From our wide network of strategic and financial contacts, databases and other sources which are all supported by relationships and research, this enables us to target the most appropriate buyers for the businesses that we represent.
You meet interested buyers over a video call first and then in person. The purpose of the video call is so that both you and the interested buyer can assess the fit, focus and culture. The next step is an in person meeting to get to know each other better, answer detailed questions and build a deeper relationship so that the interested buyer can submit an offer.
Letter of Intent
The Letter of Intent is a non-binding document that sets the terms and aligns the parties on the deal structure. Once an offer is submitted, we will help you evaluate it so that you understand the components of the letter of intent along with how it compares to the valuation. Once signed, we move into the due diligence phase.
The buyer will submit a detailed list of items that they would like to review so that they can completely understand your business prior to closing. We guide the process every step of the way.
We will prepare an integration plan so that we can begin to integrate the two firms prior to close. This step is paramount to the two firms combining into one to achieve synergy after the closing.
When and how do we tell your employees that you have sold the firm? What are the best practices and the do’s and don'ts to doing this? We will work with you through this important step and coordinate with the buyer so that the employee meeting is successful.
All of the closing documents have to be prepared by the buyer’s attorney. Once you receive the documents, we will work with you and your legal and financial team to negotiate and finalize the documents successfully.
On closing day, all of the closing documents have been finalized and signed, wire transfers are sent out, and ownership of your firm is transferred to the buyer. Congratulations!
Wondering How Much Your Firm is Worth?
We Understand the Factors That Go into a Valuation in the Built Environment
Firms in the built environment have unique stories, financial trends, geographically dispersed clients, and a variety of project types which require a customized valuation. Most banks, CPA’s and M&A firms don’t have a true understanding of what impacts the valuation of firms in this industry.
Based on the firms that we have sold in the built environment, we have developed a proprietary method in valuing firms. Using four different valuation methods based on our unmatched access to comps and unparalleled industry experience, we are able to provide the most accurate valuations to firm owners.
Understanding the value of your firm is critical in making key decisions regarding transitioning your firm internally or externally. This invaluable tool will enable you to make the right financial decisions moving forward.