why start from scratch when you can buy your own …/media/corporate/images/eenmalige-imag… ·...
TRANSCRIPT
![Page 1: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/1.jpg)
WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY?
10 TIPS FOR SEARCHING THE PERFECT TARGET
![Page 2: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/2.jpg)
#1 FIRST LOOK AROUND IN YOUR OWN NETWORK (FAMILY, FRIENDS, ACQUAINTANCES, …).
Nothing better to have a privileged access and be the first to talk to a potential seller about a possible acquisition. Being introduced to a seller by a friend or family member is a plus.
![Page 3: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/3.jpg)
#2 NETWORK, NETWORK, NETWORK! MAKE SURE EVERYBODY KNOWS YOU ARE LOOKING TO BUY A COMPANY.
The more people you reach, the higher the chances of a high-quality deal flow.
![Page 4: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/4.jpg)
#3 GO AND SEE LOCAL ACCOUNTANTS. EVERY ACCOUNTANT HAS AT LEAST ONE CUSTOMER WHO IS THINKING OF SELLING HIS/HER COMPANY.
Make sure you promise the accountant that you will keep on using his/her services in the event of a takeover. Otherwise, he/she will not be tempted to make the introductions you want.
![Page 5: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/5.jpg)
#4 IDEALLY, STAY IN YOUR AREA OF EXPERTISE.
You know the industry, the market, the players, … and most importantly, you understand the business and its drivers.You will be taken more seriously by any seller if you know the business.
![Page 6: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/6.jpg)
Every seller will appreciate some passion for the business.
Only numbers are not enough. Therefore, focus on the business during the first conversations and less on the numbers.
#5 MAKE SURE YOU ALSO HAVE A PASSION FOR THE BUSINESS, ULTIMATELY BALANCING PASSION AND EXPERIENCE.
![Page 7: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/7.jpg)
Every seller will appreciate (to a certain extent) that you are interested in his/her company and his/her business. Sometimes you can even trigger a sales process.
#6 IN YOUR SEARCH, DO NOT HESITATE TO PROACTIVELY APPROACH A COMPANY IF YOU ARE GENUINELY INTERESTED.
![Page 8: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/8.jpg)
In order to purchase a company, you have to look at many companies and have a lot of meetings. It is a very time-consuming job, where availability on short notice is key.
#7 MAKE SURE YOU HAVE SUFFICIENT TIME AND DEDICATION. SEARCHING IS ALMOST A FULL-TIME JOB!
![Page 9: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/9.jpg)
People with the relevant industry experience (‘industry experts’) can help you to direct your search. And the same people can help you in the strategic and commercial due diligence process.
#8 DURING YOUR SEARCH, MAKE SURE YOU ARE SURROUNDED BY THE RIGHT ADVISORS.
![Page 10: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/10.jpg)
Some sellers are not always ready to sell. They determine the pace. Not you, the buyer.
#9 SEARCHING IS A LONG TERM ACTIVITY. AN AVERAGE SEARCH CAN TAKE 18 TO 24 MONTHS. BE PATIENT IN YOUR SEARCH!
![Page 11: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/11.jpg)
#10 THE SEARCHING PROCESS IS A FUNNEL. YOU HAVE TO LOOK AT MANY OPPORTUNITIES IN ORDER TO FIND THE RIGHT ONE.
The average hit rate is 1 in 30. It is therefore key to get a good deal flow going. Also, practice makes perfect. The more transactions you look at, the better you will become in searching and analysing possible targets.
![Page 12: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/12.jpg)
YOU WANT TO OBTAIN MORE INSIGHTS ON SEARCHING FOR YOUR OWN BUSINESS?
ATTEND THE BUY YOUR OWN COMPANY CONFERENCEWWW.VLERICK.COM/BYOCC
MORE INFORMATION? VISIT THE CENTRE FOR MERGERS, ACQUISITIONS & BUYOUTS WEBPAGE
SUBSCRIBE FOR THE ENTRE PRE-NEURIAL BUYOUT ACADEMYWWW.VLERICK.COM/ENTREPRENEURIAL- BUYOUT-ACADEMY
Kick start your buyout career and spot investment oppor tunities by scheduling private meetups with one of our participating intermediaries. Full list on the website!
![Page 13: WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN …/media/Corporate/Images/Eenmalige-imag… · WHY START FROM SCRATCH WHEN YOU CAN BUY YOUR OWN COMPANY? 10 TIPS FOR SEARCHING THE](https://reader034.vdocuments.site/reader034/viewer/2022042412/5f2c47f00688ef0ad94193b3/html5/thumbnails/13.jpg)
GET TO KNOW THE CENTRE FOR MERGERS, ACQUISITIONS AND BUYOUTS
“Developing and disseminating knowledge concerning best practices in the entire M&A field”• Founded in 2016• Covering the whole value chain: from deal origination to completion,
from financing to integration• Our customers are key decision makers and influencers in the M&A process,
professional advisors and intermediaries• What can you expect? > Research: both academic research as well as the M&A Monitor > Education: Value Creation through M&A, Venture Capital &
Private Equity, Buyout Academy, Exit Academy > Networking: Buy Your Own Company Conference, ‘Overdracht
of verkoop van uw bedrijf’ (Dutch only) and the M&A ChallengeThe Centre has 4 partners: