This site uses cookies to improve your experience. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country, we will assume you are from the United States. Select your Cookie Settings or view our Privacy Policy and Terms of Use.
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Used for the proper function of the website
Used for monitoring website traffic and interactions
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Strictly Necessary: Used for the proper function of the website
Performance/Analytics: Used for monitoring website traffic and interactions
E234: Helping Business Owners Achieve Successful Exits: Proven Strategies for a Smooth Transition - Watch Here About the Guest(s): Christine McDannell is the founder and principal intermediary of The Magnolia Firm, a boutique business brokerage firm. – Christine McDannell "Negotiation is a muscle that you build.
The following report contains our projections for Q3 2024 insurance broker valuation multiples. Insurance Broker Valuation Multiples: Q3 2024 Projections Using these numbers as a baseline, let’s examine the insurance industry more closely to identify influential factors behind its specific changes.
The stake will depend directly on the amount you want to raise compared to your business’s total valuation. Generally, the larger the company, the higher the multiple and valuation an investor would pay for an equity stake.
Brokers offer a range of wide range of services including: Business valuation. Deal negotiation. Boutique brokerage firms like Sun Acquisitions pride themselves on providing one-on-one business broker services, dedicating as much time as needed to help you in your endeavor. Financial recasting. Professional business write-up.
M&A professionals prefer it over other valuation methods for this reason, because it provides buyers with a clearer picture of how much the agency is worth to them. While valuation multiples – especially for private companies – have been a hidden source of information for decades, it has become more transparent in the last few years.
The family office especially appreciated CCA’s ability to assist in evaluating targets, construct cash flow models, and negotiate with lenders to successfully obtain debt financing. The CCA team made a huge difference in getting our deal over the finish line.”
They prepare a business valuation (which tells you what the company is worth), market your business to buyers, facilitate meetings between your management and the buyers’, negotiate with finalists, manage the rigorous due diligence process, and coordinate with the rest of your team.
The family office especially appreciated CCA’s ability to assist in evaluating targets, construct cash flow models, and negotiate with lenders to successfully obtain debt financing. The CCA team made a huge difference in getting our deal over the finish line.”
But while the macro data appears discouraging, firms like ours are still closing good deals with solid valuations and attractive terms. Strong Execution and Negotiation Even the best deal strategy can fall down in execution. The same group saw average deal multiples decline over that period, from 8x trailing 12-month EBITDA to 6.4x.
The CCA investment banking team on this transaction included Managing Director Charlie Maskell and Vice President Andy Spears, who together with Smitha Gopal developed the deal strategy, conducted the negotiations, and provided strategic advising throughout the transaction. Learn more at www.patientpoint.com.
You now have no opportunity to compare or negotiate multiple offers against each other, and assuming the buyer requires exclusivity, you have essentially taken your business off the market. The offer price will only go down. The buyer has all the leverage. No competition means one buyer holds all the cards.
With such a high level of competition, they face the double-edged sword of higher overall valuations vs. a relatively smaller initial payout as equity becomes an increasingly larger percentage of buyer offers. This has led to very high valuation multiples (~11.5x Senior Attention.
Negotiate and align expectations Once you’ve identified potential investors, carefully negotiate terms and ensure mutual understanding. Be clear about your views on valuation and the equity stake you’re willing to offer. Discuss board seats, voting rights, and any specific milestones or expectations.
We organize all of the trending information in your field so you don't have to. Join 38,000+ users and stay up to date on the latest articles your peers are reading.
You know about us, now we want to get to know you!
Let's personalize your content
Let's get even more personalized
We recognize your account from another site in our network, please click 'Send Email' below to continue with verifying your account and setting a password.
Let's personalize your content