Mtech Advisors Provides Corporate Planning Services to Marketing Technology Businesses

Strategic Assessment & Planning

In a three-part structured process we familiarize ourselves with the management, markets, business, operations, financial condition, management philosophy, and future prospects of the client, followed by a two-day on site visit. The agenda of the visit agreed by the client and Mtech includes review of the client’s products and services, business processes, sales and marketing, and organizational structure with respect and in comparison to the market and its competition.  Staff interviews are conducted as appropriate. With this information and further research a strategic assessment report is provided the client with observations and recommendations focused on operational improvements and leveraging the client’s core competencies to sharpen its market focus and increase profitable revenue.

Merger & Acquisition Services Provided to Buyers and Sellers

Buyers

Acquisition Planning - Small firms seeking to grow as rapidily as possible should definitely consider acquisitions as a complement to organic growth. Be it a technology, product set, service and/or a terrific management team, a timely, well structured and integrated acquisition can take a business to the next level and significantly reduce the time necessary to achieve shareholder value objectives. MTA does the homework to understand the core competencies of a buyer and, given our knowledge of the space, we work with our clients to sharpen the rationale and goals of an acquisition.

Acquisition Candidate Search - Once the profile of an optimal target has been defined MTA leverages its unique network of resources and background in marketing services to identify well qualified prospects.

Candidate Contact - This is an area where MTA excels in that it can "talk the talk and walk the walk" in communicating its' client's business and rationale for interest with a target's owner or CEO. 

Transaction Structuring - From a buyer's perspective MTA endeavors to assure an accretive transaction where the owner and/or management team remains engaged and incentivized to perform if they make up a significant portion of the target's value.

Negotiations - MTA works hand in glove with its' clients transaction team including the company transaction manager, counsel and financial staff to negotiate all aspects of a purchase including the business deal, price, transaction structure and all closing documentation.

Closing - Working with both parties' transaction teams, MTA assures all appropriate and agreed documentation is in fact provided prior to and at closing whether it be in person, by mail or electronically. MTA stands by to assist in working out any last minute issues or concerns to facilitate a smooth closing.

Sellers

Presale Review and Advice - First and foremost, what is the entrepreneur's motivation for selling? Is it solely to capture the best price or are there other reasons? Has he or she taken the company as far as possible with existing talent, economic resources or a product or service set that has reached maturity? Is health an issue or is the timing perfect to seek an exit because the company's performance is about to peak at a time where its' value proposition is in the highest demand. MTA works with sellers to sort all of this out to determine the optimal timing of a sale. Timing might not be everything but it's close.

Descriptive Memorandum - Here is where the Company is positioned and packaged to maximize its value to a strategic buyer. MTA does its' due diligence to identify it's clients' core competencies and potential buyers to whom these competencies are most valuable. The memorandum is drafted to clearly and compellingly convey the value of the business to the most strategic counterparties.

Valuation Analysis - MTA's extensive experience and completed transactions in marketing services gives it a unique perspective on value creation beyond traditional market multiples. Here is where knowledge of trends and demand for functionality and service in the space can result in multiple expansion by effectively packaging and messaging a qualified seller's value.

Potential Acquirer Research - MTA's process for identifying potential acquirers encompasses both a local and national search. Unlike larger businesses, the most likely acquirer for smaller companies are often in local or regional proximity. Given the highly fragmented nature of marketing services, we focus on searching out candidates where the combined product and service sets make the most strategic sense and will yield the most value.

Contacting Potential Acquirers - Unlike most business brokers, we do not "list" our client's business. We do our homework on every potential acquirer candidate and in a personal interview determine the "fit" along with strategic vision and capability to complete a transaction.

Negotiations and Closing - MTA works to maximize transaction value through a "soft auction" sale process. Every effort is made to capture the largest percentage of cash at closing and to assure overall transaction value is achieved through a well negotiated earn-out (if any), representations and warranties, indemnification provisions, non-compete language, and other critical items in the closing documents.