A. Preparation
Assessing and preparing for Acquisition, Merger, Sale or Divestiture
- M&A Plan Development
We help our clients develop a strategic plan defining the operational and financial objectives of the transaction. This phase includes developing detailed criteria for acquisition, merger or sale and an early screen for possible candidates in the marketplace.
- If you are Selling: Pre-Deal Assessment – Preparing for the Transaction
Utilizing our proprietary M&A Checklist, we perform a comprehensive operational, financial and cultural analysis, to clearly identify our clients’ strengths and weaknesses and to highlight potential areas where improvement is needed. We analyze financial results, financial ratios and client relationships in order to benchmark the level of financial health relative to similar organizations in the marketplace.We focus at this stage on assessing the corporate culture, readiness/adequacy of skill sets, and organizational and financial reporting systems. If necessary, we will recommend measures to address any areas of concern. If additional specialized Accounting and Legal expertise is needed, we can recommend trusted firms with in-depth industry expertise.
B. Sourcing
Developing the Criteria and Guiding the Selection of a Partner
- Criteria
In this phase we develop a list of detailed Criteria for an acquisition or merger partner and start discreetly identifying and contacting possible candidates. We utilize Ark Advisors’ proprietary database, industry contacts and unequaled agency knowledge to identify a full range of appropriate candidates.
- Guiding the Selection
We continually refine the list of candidates and provide ample opportunity for key stakeholders to meet, discuss mutual objectives and unearth any potential stumbling blocks.
C. Preliminary Due Diligence (as appropriate)
Reviewing Candidate Financial, Operational and Cultural Factors
- Due Diligence
As appropriate, we conduct in-depth accounting, financial and operational due diligence for all serious candidates. A thorough analysis is conducted to highlight possible client conflicts, legal issues and other liabilities. Utilizing our proprietary M&A Checklist, we will review balance sheet, P&L and other financial reports. In addition, we review all client and supplier contracts, facilities and equipment leases, and management contracts.The result of this due diligence is the identification of potential financial and operational risks that will help determine the deal valuation/price.
D. Recommendations for best-in-class Financial, VC, and/or Legal Resources
- As needed, we can recommend top quality resources to help you obtain funding (if needed), negotiate the deal and complete your transaction.
E. Post-Transaction – Transition & Integration
- Our clients often engage us to help with the transition and integration of a new acquisition and/or partner. As appropriate, we design and implement programs to help assure a seamless operational, financial and, most importantly, cultural transition. This may include conducting workshops to foster better communications and cultural connections.
If you are contemplating a sale, seeking an acquisition or merger target, or simply want to discuss your options, we invite you to contact us in complete confidence with any questions.