The Pace Equity Sale Process
Please find below each step in the Pace Equity sale process.
For additional information, please click on the steps.
Selling Your Business
The sale of a company is a complex and time consuming exercise. Pace Equity will be at your side throughout the process, ensuring the sale can progress with minimum stress and maximum benefit.
By appointing a professional team to handle the process of selling your business, you can remain focussed safeguarding the businesses performance at this crucial time.
We provide a comprehensive service aiming to help or resource whatever is required during the course of the sale and deliver the best possible deal to our client.
Why can Pace Equity Provide Leading Edge Advice?
- Pace Equity is one of the UK’s longest established M&A Boutiques with 22 years’ experience in mid-market private sector transactions.
- Pace Equity has a proven track record for achieving top level valuations for private companies due largely to their expertise in meticulous exit planning processes.
- Pace Equity advisers are proud of their reputation for in-depth experience across a broad spectrum of industry sectors.
- Pace's lead advisory role covers the entire sale process leaving the shareholders free of the process burden to continue focusing on the business to best effect.
- Pace Equity is a marketing company with powerful research & marketing capabilities, an exhaustive market reach, a valuable network of industry and professional contacts and an extensive in-house database of UK and International buyers covering most industries.
- The sale of a business is handled from start to finish by the adviser most suited to the project.
Questions?
Please
Contact Us for a completely confidential discussion on Selling Your Business.
1. Familiarisation
We look to establish a clear picture of your aims and objectives and develop a thorough understanding of your business and the opportunity going forward.
2. Preliminary Research
Time is spent analysing your business and the marketplace within which you operate.
We will look at recent M&A activity within your sector, identify potential acquirers and consider the value drivers within the sector.
In addition, Pace establish an approximate level of demand for businesses such as yours on the market.
3. Valuation
Our valuation process goes further than applying standard valuation techniques to the numbers.
We take great care to examine the business from a range of perspectives to give the shareholders an accurate guide to the likely sale price.
4. Documentation
Pace produces 2 main documents:
A detailed Information memorandum and a 1 page anonymous outline.
Pace puts considerable effort into these documents, a well written memorandum can make a considerable difference to the sale process.
Confidentiality is carefully managed throughout the process.
5. Agree Buyer List
Extensive market reach is an attribute we pride ourselves on.
Our research team will utilise subscription databases, in-house databases, and on line and library resources to put together an exhaustive list of potential acquirers.
6. Marketing Campaign
The marketing campaign aims to generate competitive bidding to enable the seller choice and improve price. This process includes:
- Exhaustive follow up of agreed buyer list.
- Anonymous insert in Pace Equity’s Quarterly M&A
publication (15,000 circulation).
- Regular exposure in Pace Equity email bulletins
(8,000 circulation).
- Contact with large organisations and city contacts.
7. Initial Meetings
Pace will arrange and attend meetings with clients and interested parties, these can be held off site where there are sensitivities.
The meetings provide an opportunity for both parties to ask questions and to asses the opportunity.
In most circumstances a maximum of 2 meetings are held prior to receiving an offer.
8. Indicative Bids
Where appropriate Pace will set a deadline to receive indicative offers for the business.
Pace will assist clients with bid assessment.
9. Negotiations
Pace will negotiate the terms with selected bidders.
10. Candidate Priority
Pace will advise on preferred bidder selection, which is normally not just on the basis of the value of the deal but on the chemistry between buyer and seller and the structure of the deal.
At this stage, solicitors will need to be appointed.
11. Heads of Agreement
Heads of Agreement will be drawn up to ensure that all parties understand the main terms and basis for the deal.
Exclusivity for up to 90 days will be granted to the acquiring party.
Unsuccessful bidders will be informed and where possible kept on the ‘backburner’ until the sale process has been completed.
12. Due Diligence
The acquirer carries out a thorough investigation – typically of the legal, financial and commercial aspects of the business.
Pace will be on hand to project manage this process helping to resolve any issues and ensure that timetables are met.
13. Purchase Agreement
Typically the acquiring party will draft the Sale and Purchase Agreement and Pace will help client’s legal advisors to ensure that the agreement reflects the agreed deal. It is possible that terms may be renegotiated based on findings that crop up at the Due Diligence stage.
Again, Pace will be on hand to assist in the negotiation process.
14. Completion
Typically 9 months from signing up to the sale process the transaction will be completed.
