Clients often ask us to provide a schedule for their sale process at the beginning of an engagement. And while certain preliminary activities are easy to predict and control, much of what happens during a sale is out of the control of the sellers and their M&A Bankers. Like a seasoned pilot, a seasoned M&A Banker knows how to read the always changing environment and make wise course adjustments to complete the mission optimally.
For example, if many well-capitalized buyers are keenly interested in buying your company, then the process should be managed in a strict manner. If there is tepid interest in your business, then it will not serve you well to run a strict process. Herein “strict” means fast paced with firm deadlines, no flexibility for unique buyer preferences, and limited information releases early in the sale process.
When we started our firm 23 years ago, we naively thought we could control the market. We quickly earned battle scars and learned our lesson – while we can control many things, we cannot control the market. How the market responds to the prospect of buying your company should determine how your M&A banker responds to the market. Like a seasoned pilot knows how to read the environment, a seasoned M&A banker knows the same.
Have a great day everyone.