Often, when the business owner is a year or more away from a planned exit, it will be desirable to implement a program to increase the value of the company to make it attractive to third party buyers, increase cash flow to help finance a purchase by insiders, or provide more value to fund the owner's post-business financial needs.
Value Drivers
Majcher Group's Value Drivers process is a unique service to help business owners that may not yet be ready for an Exit Plan. This process will:
- Identify the financial gap between where the business is today and where it must be to support a successful exit;
- Start building a transferable business that can successfully function without the current owner;
- Position the company to meet the owner's financial objectives; and
- Prepare the company and owner for the Exit Planning process.
The Value Drivers process evaluates the company from a balanced perspective of operations, marketing, investment banking and the external environment in which your company competes. The result is an independent analysis of key business processes and their likely impact on company value.
Strategic Options Analysis
Another useful planning tool is Majcher Group's Strategic Options Analysis. This analytical tool provides the foundation for owners, boards of directors and management teams to evaluate and understand the impact on shareholder value of various strategic alternatives.
Strategic Options Analysis answers the following types of questions:
- Will I create more value by developing and executing a new strategy or by selling the company?
- How should I fund my strategy? Should I raise outside capital or should I generate funds internally?
- How do I decide if my company should be sold? What are the advantages and disadvantages of strategic buyers, financial buyers and insiders?
- What is my company worth to me? to other parties?
- What are my liquidity options? What are the relative values and merits of a recapitalization, an ESOP, an extraordinary dividend, sale to a third party or insider?