Lower middle market and M&A advisory

Selling to a corporate or an investor

Whether you want to sell outright, bring in a growth partner or sell down over time, we have run the process before and know where it goes wrong.

We are a small, owner-led firm. That means the people you meet at the first conversation are the people negotiating on your behalf at the end. We give you honest assessments, including when the timing or the price is not right, and we keep our clients' goals at the centre of every decision.

Why a corporate buyer changes the game

Corporate and private equity buyers acquire businesses for a living. They have in-house deal teams, lawyers and accountants who have bought dozens of companies like yours. Having an adviser on your side who has done the same steadies the negotiating table and evens up the experience gap, so the terms reflect what your business is worth rather than how well the other side negotiates.

Private equity funds

Private equity and investment funds raise capital from institutions and private investors specifically to buy privately held businesses. Some look for platform businesses that fit a published strategy. Others want add-on acquisitions for companies already in their portfolio. In New Zealand and Australia there is a growing pool of funds focused on businesses with enterprise values from a few million dollars.

Many funds prefer to buy 100 percent, but a good number will do a partial sale, where you take some cash off the table now, stay on to run the business and sell the balance at a planned later date. For an owner who is a few years from retirement, that structure can be the best of both worlds.

Corporate and trade buyers

Beyond the corporate buyers we already know, we have the training and the experience to identify other companies, here and offshore, that would benefit from owning your business. We know how to approach them confidentially, without disclosing who you are until they have earned the right to know.

We do not favour a wide auction. It rarely protects confidentiality, and a business that has been shown to too many parties starts to look shop-worn. We prefer a tightly run process with a short list of well qualified buyers who understand what makes your business valuable.

Most corporate buyers want all of the business. Some will consider a strategic alliance or an equity stake with an agreed formula to buy the rest later. We can help you make the approach and negotiate the terms.

Private investors and family offices

High net worth individuals, often working loosely together, form something that looks a lot like a private equity group. They bring serious management experience and access to capital beyond their own. Most want to invest in a privately held business and sit at board level, helping with finance, strategy and growth, rather than run it day to day. They frequently have experience buying businesses, which is exactly why having an experienced adviser beside you matters.

Discuss your business in confidence