Preparation of company divestiture

‘Value creation’ is the buzzword often used in the preparation for a sale of a business. In our vision, the main reason to prepare the sale of a business thoroughly is to increase the feasibility of that sale. Possibly less popular, but definitely realistic and necessary.

Currently we see a buyer’s market: there are more companies offered than sought. This means that buyers can choose carefully. Buyers, both strategic and financial, are picky nowadays. They themselves are well aware of all the risks associated with an acquisition, mostly through (due diligence) investigation and try to exclude the contractual risks as much as possible.

As a result, the sales process is not always successful. Does that only have to do with critical buyers? In many processes, the companies offered are actually not ready for sale. The results fell short of projections, necessary investments have not been performed yet or management is not at full strength. In a tough economic market, the current situation often leads to lower price or even the ending of the sale process.

We see a thorough and timely preparation of a sale as a necessity to maximize feasibility and create best pricing. In our view, this preparation consists of careful analysis of the company, not only strengths, but also risks, opportunities and limitations. By means of this analysis, we can indicate how the risks can be reduced, for example, by strengthening management, by a wider spread of customers and suppliers or a better record of internal and external contracts

Simultaneously to this process we can work out the next steps in the divestiture process, with an assessment of possibly interested buyers, researching if an auction procedure is viable and analysing what information could strengthen the bargaining position.

This proper preparation will result in a faster and better final sales process. The investment required for the preparation will be earned back by a successful and faster sales process.

Waarom Clifton Finance?

Het voorbereiden van een verkoopproces is tegenwoordig geen overbodige luxe meer, maar een harde noodzaak. Vaak is een verkoop een eenmalig proces: één kans om het goed te doen. Waarom risico’s lopen als het niet hoeft?
Clifton Finance ondersteunt en adviseert waar dat nodig is. Niet te weinig, maar ook zeker niet teveel. Geen dure processen met grote teams. Expertise die is opgebouwd in de afgelopen 30 jaar inzetten op de plaats en het moment dat het nodig is. Met aandacht voor uw specifieke situatie. Omdat alle processen maatwerk zijn.