Buying an IT Firm
Prospecting
A broad industry survey provides a comprehensive view of organisations of interest, to support prioritising targets to approach.
The Approach Process is designed to quickly and confidentially narrow down the field to those that are interested to take part.
Client goals and priorities help define the sort of organisation we are looking for, and understanding acceptable valuation ranges helps select those with a high likelihood of coming to an acceptable arrangement.
Execution
A “Heads of Agreement” allows principals to agree key points, and others to negotiate details
Later, detailed stages must be managed carefully to avoid extreme delays.
Initial meetings lead up to an indicative offer to crystallise discussions of valuation and ongoing relationships.
The execution process progressively builds trust among the principals, with third parties handling contentious issues - this reduces the 'excess baggage' that can interfere with subsequent business integration.