All too often the M&A process is handled differently depending on who works it – catch as catch can! For the most important transaction of your life you deserve better. You need a global search process for that partner that will give you maximum price, optimum structure, minimal taxes, fair employment/non-compete, minimal liability, and an integration plan that takes care of employees. The right outcome. To do it right, you need a professional detailed process that leaves no stone unturned, and creates and auction environment for maximum success. Based on selling more tech companies than anyone in history over the lasts three decades, Corum has developed the “8 Stages For An Optimal Outcome” to help you.
8 Stages for an Optimal Outcome - The Tech M&A Process
1. OPTIMAL OUTCOME BY THE NUMBERS
THE TECH M&A PROCESS
8 STAGES
FOR AN OPTIMAL OUTCOME
Too often, the M&A process is handled differently depending on who works it. What’s needed
is a global, systematic search process for that partner that will give you an optimal outcome.
The “8 Stages For An Optimal Outcome” is built on the largest body of tech M&A work in history.
PREPARATION RESEARCH
CONTACT DISCOVERY NEGOTIATION
1 2 3
4 5
6 7 8
75%
of the time
there will be
other buyers
willing to pay
more than the
first one that
approaches you
average
increase
from initial
offer to LOI
with a global,
professional
process
48%
of self-managed
M&A transactions
end in failure80%
For more information, visit www.corumgroup.com
PREPARATION RESEARCH CONTACT
DISCOVERY NEGOTIATION
DUE DILIGENCE CLOSING INTEGRATION
• TIMELINE
• FINANCIALS
• PROJECTIONS
• PRESENTATION
MATERIALS
• TARGET SECTORS
• A & B BUYER LISTS
• STRATEGIC ANALYSIS
• DETERMINE CONTACTS
• SYNERGY STATEMENTS
• INTRODUCTIONS
• EXECUTIVE SUMMARY
• SCREEN INTEREST
• EXECUTE NDAS
• LOG COMMUNICATIONS
• CONFERENCE CALLS
• SITE VISITS
• TECH REVIEW
• SYNERGY ANALYSIS
• CUSTOMER INTERVIEWS
• STRUCTURE &
VALUATION GUIDANCE
• RECEIVE BIDS
• NEGOTIATE BIDS
• LETTER OF INTENT
• ESTABLISH DATA ROOM
• VERIFY FINANCIALS
• TECHNICAL/LEGAL
DILIGENCE
• DEFINITIVE AGREEMENT
• REPS & WARRANTIES
• ESCROW HOLD-BACKS
• CONTRACT SIGNING
• REGULATORY FILINGS
• PAYMENT
• MITIGATE RISKS
• SET TRANSITION TEAM
• EMPLOYEE RETENTION
• MONITORING &
REPORTING