Review current 2020 M&A deal multiples, deal structure and other Q1 mergers & acquisitions trends and statistics from Calder Capital, LLC
After closing a record 22 transactions in 2019, the Calder Capital/Small Business Deal Advisors team cranked up the volume and drove home 15 closings between January-April 2020, breaking the record for most closings in a four-month period.
May 2020 – Calder Capital, LLC is pleased to announce the successful sale of multi-state MAACO franchise operator, Stonewall Road Automotive Group LLC, to Collision Consolidation Company LLC. Operating in three states in the Midwest, the Stonewall Road Automotive Group LLC (“SRAG”) is a multi-shop operator of MAACO automotive repair centers. SRAG is one of the largest multi-unit franchisees within the national MAACO system and has been consistently recognized as a performance leader in the automotive repair industry. Stonewall Road Automotive Group, through its individual MAACO stores, is a provider of a wide variety of auto collision and repair services including paint services, cosmetic car repairs, fleet and industrial services, paintless dent repair, spray bed lining, windshield repair, truck and oversized equipment outfitting, and direct insurer repair programs. The company will continue to operate under the SRAG name and all key people are remaining with the firm following the transition. SRAG’s world-class operations team is led by a former multi-unit MAACO franchise owner, Taso Bournousouzis, and a former senior executive at MAACO, Doug Engle. SRAG’s industry-renowned operations team also includes other former multi-unit franchisees, experienced general managers, and other MAACO veterans, many of whom boast several decades of experience in […]
Disclaimer: as the PPP is handled at the individual SBA Lender level, the items necessary may differ from lender to lender. Additionally, we are not lenders and the information listed here is FYI only. Please contact your business bank to get connected to the appropriate contact. You are likely receiving a lot of emails and information from various sources regarding the Paycheck Protection Program. The purpose of this post, which may be updated as new information is learned, is to distill the requests and process down to the meat only. So, here goes: Paycheck Protection Program Tips Here is the official PPP Application. You will want to work with your existing SBA-approved bank. We are hearing that due to such high demand, most lenders are prioritizing current customers. If you do not have a good contact, we can provide a list of quality SBA contacts at various banks. Please be aware that their response time will likely be delayed. Remember: Stay in communication with your lender but avoid inundating them down with unnecessary communication as they are certainly already feeling overwhelmed. Paycheck Protection Program (PPP) Checklist Start collecting items that will be requested now. Do not wait for a final […]
Section 1112 of the CARES Act requires the Small Business Administration (SBA) to make payments on new and existing 7(a) loans for six months. These are not deferments. They are full payments of principal and interest that the borrower will never be responsible for again.
We hope you are doing well and staying healthy. In turbulent times, it is even more imperative that business owners understand the value of their business, and what metrics drive valuation. We strongly advise owners to use this time to look internally at their own business; understanding the value of your company is the first step in planning for your eventual future succession. In order to best serve business owners, Calder Capital is extending our $500 off valuations throughout the month of April. We received wonderful feedback from our promotion in February and March and look forward to serving even more businesses this month. If you do not know the value of your business and have not done any succession planning you are not alone! Many business owners have not taken these important steps. The chart above from the International Business Brokers Association (IBBA) 2019 Q4 Market Pulse Report shows that the majority of sellers for businesses valued at less than $2MM do no planning before they sell. Unfortunately, this lack of planning leads to added stress and uncertainty; and confusion about when to sell and how much is enough. As the proverb wisely says, “The best time to plant a tree was […]
The purpose of this post is to try to understand what may unfold using historical examples and analysis. Knowing the challenges of the past should better allow us to foster the creativity necessary to overcome those challenges should they unfold again.
SBA Disaster Assistance in Response to the Coronavirus. SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance per small business and can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
We have been recently doing some research into the archives of the post-Great Recession of the 2008-2010 deal market to try and understand what the near-term future may look like once the dramatic phase of COVID-19 runs its course. Of course, we would prefer not to think of those times but it’s best for buyers, sellers, and intermediaries to come to grips with the reality that the pending deal market will be more challenging than the recent past. Harkening back to an analysis of Q2 2009 business transactions, buyers and sellers considered the following attributes of closed transactions that helped those businesses reach a deal. Focusing on these factors in 2020 will help sellers in the near to medium best understand what factors will enhance the success of their transaction getting done throughout 2020 and into 2021. Factors That Enhanced The Chance of a Successful Transaction During the 2009 Deal Market: Physical Assets for Debt Financing – Economic conditions at the time had made banks wary of lending. Small businesses with higher levels of tangible assets, such as capital equipment or owned real estate, fared better in securing a purchase loan. Seller Financing – Buyers faced limited access to SBA-backed […]
Calder Capital is pleased to announce the addition of Shane Kissack to the Calder team. Mr. Kissack has joined Calder as a Mergers and Acquisitions Advisor to assist and support Calder’s sell-side services for middle market clients in Northern Illinois and Southeast Wisconsin. Shane is an entrepreneurial-minded business development and strategy advisor serving small and mid-market business owners. Shane has over 20 years of business experience playing multiple roles in a variety of industries. He began his career in the golf industry running operations for multiple private clubs in the Chicago area. He then shifted to business owner when he started, operated and ultimately entered the sphere of Mergers and Acquisitions on the sell-side as he sold the first of two businesses in 2012. After selling his businesses, Shane became an investor and advisor in a growing retail beverage operation while temporarily living abroad in Varese, Italy. Upon his return to the U.S., he served as an economic development manager. Calder Capital is delighted to welcome Shane to the team! With the addition of Shane, our team looks forward to serving a greater number of clients in new geographic segments.