We first discussed management presentations in Deal Note® 23. In this Deal Note® we will highlight some of the most important preparations that need to be considered in advance of on-site management presentations and/or buyer facility tours:
- Verify and confirm that buyers have the correct identities and / or clearances in advance. For example, if you produce products for defense applications, then ITAR compliance must be followed, and all visitors must be US citizens or permanent residents, no cell phones, etc.
- Prepare your employees in advance about who the visitors are, e.g., potential investors. It is important to be as transparent as possible without revealing the true purpose of the visit unless you have communicated to all your employees in advance that your company is for sale.
- Clarify the dress code in advance for your visitors to avoid confusion and to be consistent. This could range from very casual to a jacket and dress shirt depending on the company.
- Verify yourself and your staff in advance of the cleanliness and optimum presentability of your company.
- Determine in advance the details of the tour.
- Have your M&A Bankers on-site well in advance, to help your company prepare for the tour with dry runs of the order of the visit and whether certain employees are going to speak to a particular product or process in advance.
- Assure that a seasoned representative from your M&A Banker is present for all employee or key team member discussions with potential buyers. This is to ensure that the questions are appropriate to answer, and any responses are consistent with what is stated in the Confidential Information Memorandum (CIM).
Lastly, while there are many logistical matters to be addressed during on-site management presentations and facility tours, thorough and detailed preparations are key to having successful buyer visits. Close attention to the topics discussed above will assure you of successful visits by potential buyers.
Have a great day everyone,
Bruce Andrews
Partner
