Middle Market Advisory Services

Our transaction professionals use a proven methodology to manage the process of selling their clients’ businesses. The following paragraphs provide a general outline of the process. Your Sunbelt service team can provide additional details and modify the process to best meet your specific circumstances.

Retain Our Service

Your transaction service team will provide you with an agreement to clearly document the terms of your arrangement (commonly referred to as a letter of arrangement or engagement letter). This agreement will address a number of germane issues including, but no limited to, fees, exclusive representation for a specific period of time, confidentiality and other relevant disclosure issues.

Analyze and Prepare Operations

As a first step in the sales process, we encourage all clients to critically evaluate their business operations, identify opportunities for short and long-term improvements as well as competitive challenges that will be of interest to prospective buyers.

Obtain Independent Valuation

We strongly recommend that clients obtain an independent valuation of the business being offered for sale. We will gladly recommend one or more experienced, qualified valuation firms for your consideration.

Coordinate Drafting of Offering Memorandum

We will assist you and your management team with the preparation of an effective Offering Memorandum. Company management is responsible for the preparation and presentation of all information included in the Memorandum; however, we can provide you with a recommended format for the Memorandum and suggestions on content.

Developing a Marketing Plan

In conjunction with the preparation of the Offering Memorandum, our engagement team will work with your management team to formulate a marketing plan, including defining the marketing process and establishing timelines. The marketing plan will be customized to fit your company’s particular circumstances.

Identify and Contact Prospective Buyers

Depending upon the nature, size and value of your business, the most likely pool of buyers could be competitors, private equity groups, foreign companies or local, in-market investors. Our international office network facilitates the identification of potential buyers throughout the world. Sunbelt has a proprietary process whereby your service team can complete a succinct, confidential profile sheet based upon the Offering Memorandum. This confidential profile sheet can then be distributed to more than 600 private equity groups that we work with to identify those groups that may be looking for investment opportunities in your company’s line of business. Prospective buyers who express interest will be required to sign a Non-Disclosure Agreement prior to receiving any information about your business.

Facilitate Buyers’ Due Diligence

A limited number of prospective buyers will be given the opportunity to visit your facilities and conduct on-site due diligence. This process typically entails meeting with designated members of management, reviewing selected financial information and gathering other relevant information.

Assist Clients and Clients’ Professional Advisors with Evaluation of Offers

The goal for any transaction should be to maximize the seller’s after-tax sales proceeds. Accordingly, we encourage clients to involve their attorneys and CPAs in the process as soon as is reasonably possible so that tax planning strategies and other important transaction structuring issues can be thoroughly considered and addressed before proceeding in negotiations with prospective buyers.

Assist Clients’ Professional Advisors with Document Preparation

The seller’s and buyer’s attorneys will be responsible for the drafting and negotiation of the sales agreement and related documents. Our service team will assist with your review and document compilation process.

Facilitate Timely Closing and Assist with Post Closing Issues

We will work with the seller and buyer transaction teams (management, attorneys, CPAs) to resolve any open issues and consummate the transaction in a timely fashion.

For a confidential, no-obligation discussion, contact us to obtain more information.