Mergers & acquisitions are unpredictable. Not a single process is the same, because neither the companies, nor their problems are the same. At Clifton Finance, we have over 30 years of experience and we know all possible issues that might arise. This helps us with creating the optimal framework and preparation of the M&A process to ensure a successful transaction.
All M&A processes are about the transfer of a company at a price that is related to the future cash flow of the company while keeping in mind the involved risks. Drivers of risks include the maturity of the company, the quality of the (internal) organisation and management, the business type of the company (trade, production or services) and the markets in which the company operates.
In this uncertain process, we believe careful planning is key. In all transactions of companies, we will first make an assessment of the risks by analysing the company prior to the process. We then try to restrict or mitigate those risks and consequently explain those properly to potential buyers. This is to avoid surprises later in the process. Surprises can cause failure of the sale process or result in making significant concessions on the price at a late stage of the negotiations. A sales process with proper preparations obviously will be much more likely to be successful.
In acquiring a company we will use our longstanding experience to find the delicate balance between an accurate assessment of the involved risks (and their value implications), and the deal momentum of the transaction. It is important to take exactly the right steps at the right moments, especially when there are multiple buyers or there is a sales auction. Therefore, an assessment of your bargaining power in the process is essential.
Our approach is characterised by facilitating a process customised for you. Based on our experience we quickly pinpoint the potential problems and assess the balance of power in the transaction. We will make effective use of digital technology in the process. Our service is a fully customised process: small, effective teams and a process that matches the size of the transaction.