M&A Buy-Side Advisory - Proprietary Seller Leads Guaranteed!
Buyer competition, non-listed sales, limited time for prospecting/pipeline building, and limited administrative resources: these are all factors that add to the difficulty of buying a business. We understand these limitations, which is why we have created buy-side sourcing services designed to do the work that corporate, family office, private equity, and individual buyers know is necessary but often falls to the bottom of the priority list.
Private Equity & Family Office Buyers
Private Equity Firms and Family Offices spend the vast majority of their time looking at competitive deals, working on the post-LOI closing process, or integrating newly acquired companies. Rarely do they have the time to devote to prospecting directly to business owners who would make an excellent fit. Ironically, many of these "perfect fit" business owners have not spent the time to identify potential transition partners, their business has outgrown its "family business" status, therefore, requiring an institutional transition partner, and these owners do NOT wish to engage with a Sell-Side M&A Firm due to confidentiality concerns or the perceived high fees. These are the owners that Calder will uncover - guaranteed!
Strategic / Corporate Buyers
Most strategic/corporate buyers cannot justify the expense of having a team dedicated to business acquisitions. Even one experienced corporate development staff member will cost well over $100,000 in salary and benefits (perhaps 2x that depending on location/experience), and they would require costly resources - valuation databases/software, CRM, sales lead generation, company car/travel - all with zero guarantees that anything will transpire in even 1-2 years.
Furthermore, corporate buyers who do not work with a Buy-Side M&A Advisor often end up heavily relying on CPAs/attorneys who rack up hefty bills with no guarantee that any deal gets consummated! While there is no replacement for a qualified transaction CPA or attorney, there are many steps of the process, for example, business valuation, LOI creation, negotiation, and closing management, that a skilled M&A Advisor should handle, saving the buyer significant potential excess deal fees.
Are you done being a cubicle jockey for someone else? If you have started the process of searching for a business to buy, can you relate to the following: exhausted by competition from other buyers, frustrated with business brokers not calling you back, forlorn about inquiring on an opportunity only to find out it just went under contract or lost sleep over swings and misses that keep playing in your head? Wouldn't you like to work directly one-on-one with a business owner through a thoughtful purchase and transition? Let Calder help.
In fact, there are 1000s of business owners that are hoping the right buyer contacts them directly. They do not want to hire a broker for fear of confidentiality breaches, employees finding out, or the costs involved (We know this first-hand because many owners will only talk to us if we have a buyer in hand). They are not interested in a sell-side engagement. They do not want to spend their evenings in showings with multiple buyers.
Stop spending hours a day looking at bizbuysell.com or emailing brokers. Owners are waiting to hear from you.
How Does Buy-Side M&A Advisory Firm Calder Capital Solve These Challenges?
Calder Capital serves as a Buy-Side M&A advisor and provides acquisition search services to serious buyers with clearly defined acquisition criteria. Calder does all of the heavy lifting: researching prospects, qualifying prospects, verifying ownership, confirming phone numbers and emails, reaching out directly multiple times solely on behalf of our client, and setting up a drip campaign so that your prospects are periodically and professionally contacted. Additionally, as requested, Calder will conduct business valuations, write LOIs, negotiate on behalf of our client, coordinate due diligence, and quarterback all steps to a successful closing.
Our services are best suited to clients who seek to complete several smaller acquisitions and who have well-defined size, type, and geographic search criteria.
How Are We Different?
- Guaranteed Results - There are no other Buy-Side Advisory Firms that will guarantee leads. Calder guarantees a minimum of three (3) proprietary, warm introductions to sellers per month that match your criteria. If we do not produce three leads, you do not pay our Retainer. Most of our clients receive more than three qualified leads per month!
- No Outsourcing - Calder's Buy-Side Team handles all prospect research, verification, phone calls, emails, letters, drip campaigns, and prospect introductions in-house. This gives potential sellers a professional and seamless experience and makes for a positive and natural introduction to our client.
- Advanced Pipeline Building/Maintenance - Calder's buy-side operations have been integrated with advanced InfusionSoft (CRM) marketing campaigns since 2013. This ensures that prospects remain in the pipeline and do not fall through the cracks. This allows us to build a database of 100s of prospects for our clients that are professionally and periodically nurtured.
- Deal Facilitation - While Calder does not replace the necessary role of a CPA or attorney, part of our service offering includes conducting business valuations on prospects sourced, writing LOIs, negotiating on behalf of our client, due diligence coordination, and making sure we are there for you until the transaction is inked!
M&A Buy-Side Advisory Fees
A monthly Retainer is established in a formalized acquisition search engagement. This amount varies based on the breadth/scope of the search, however, is generally in the ~$4,000-5,000/month range. Calder is the only M&A Firm that will guarantee unlisted leads to our buy-side clients. If we do not produce, you do not pay.
Our Success Fee commission will vary based on the type of buyer and their needs. For example, in general, Private Equity and Family Office buyers do not require much assistance in terms of valuation, due diligence, and coordination of the closing whereas Individual buyers may require all of these services. As a general rule, our success fees are a reverse Lehman starting at 5-7% of the first million in Consideration based on the scope and services desired by the client.
We generally do not incur many, if any, out-of-pocket expenses related to our buy-side clients. However, if significant travel is required we will request reimbursement. All requested reimbursed expenses will be pre-approved.
DEVELOP ACQUISITION STRATEGY AND TARGET PROFILE
Identify Owner Goals And Objectives
Research Prospective Acquisition Targets
Verify Target Owners Contact Information
RESEARCH PROSPECTS, ENGAGE TARGETS, BUILD ACQUISITION PIPELINE
Develop Buyer Profile & Communication Templates
Make Confidential Contact with Target Owners via Phone, Email & Mail
Establish a Confidential Drip Marketing Campaign to Keep Targets Aware
EVALUATION OPPORTUNITY, CONDUCT VALUATION, DEFINE SYNERGISTIC VALUE
Collect Financial and Operational Data from Prospects
Perform In-depth Valuation & Assist in Offer (LOI) Creation
Work with Our Client to Negotiate on Their Behalf
STRUCTURE, NEGOTIATION, AND CONSUMMATE TRANSACTION
Arrange Financing (if necessary)
Manage Due Diligence Process
Coordinate Purchase Documentation
Quarterback Legal & CPA Teams to a Successful Close
Celebrate With Our Client Post Acquisition!
We believe that our process will give business owners the greatest chance for a successful sale. For more information about our process or to meet with one of our experienced advisors, please complete our contact form.