No! If I successfully connect you with a buyer, I charge the buyer a finder's fee. Similarly, if I refer you to a broker who completes a sale, I receive a commission from the broker (typically a percentage of the advisory fee).
How would you describe your business philosophy?
I subscribe to a laissez-faire approach that empowers the seller to carve his or her own path. I'm here to provide information (both quantitative and qualitative), layered with my opinions, but encourage you to act in your own best interests. I am adverse to being "pushy;" the process needs to be organic.
What are the advantages of working with you?
Functionally speaking, I work as a matchmaker that actively seeks out buyers, saving you time (and costs), while avoiding the passive architecture of online marketplaces that often face the "chicken-and-the-egg" problem. I'm open-minded, like to use computer programming to accelerate understanding, and have also gained valuable M&A domain knowledge over the years.
Do you cater exclusively to certain sectors and/or geographies?
No! I work with businesses across various sectors and geographies. While working in investment banking, I was a generalist and gained broad M&A exposure to various types of companies (e.g. healthcare, tech, consumer and industrial, among others). More recently, my experience includes working for a consolidator in the healthcare services space.
Where do you source buyer information?
In addition to leveraging existing professional relationships, there are both free and subscription databases (such as Mergr) that offer valuable data points in the PE and M&A arenas.
How do you measure the suitability of a buyer?
I consider both objective criteria (e.g. historical multiples paid, desired EBITDA ranges, sector preferences, and geographic presence) as well as subjective criteria (e.g. reputation, leadership quality, investment philosophy, and operational approach) to formulate a holistic assessment, based on alignment with seller criteria.
Can the seller share his or her buyer preferences with you?
Yes! Understanding your preferences is crucial to refining the buyer universe and performing targeted analysis. This also ensures you spend your time more effectively by speaking with more probable fits.
What company information do you share with prospective buyers?
This depends on the seller's preferences. Buyers often appreciate a brief, redacted prospectus that includes high-level financial information and general company details. Having said that, I act in accordance with the confidentiality needs of the seller.
