Taking Your Business To the Next Level Roadmap For Growth Via Acquisition

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Taking Your Business To the Next LevelRoadmap
For Growth Via Acquisition

• Bob Christian, Principal,
• October Family Holdings, LLC

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How Fit Is Your Business

• Start w/ introspection 1st.
• Very easy entry business.
• About 60 fail within first 5 years.
• What business am I in?
• Am I maximizing value creation now?

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1. Leadership. 2. Know The Numbers. 3.
Systems/Processes. 4. Team/Partners,
Capabilities 5. Understand The Market.
Top 5 Screening Criteria For Target Companies
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Leadership

• Business Visionary.
• Good communicator.
• Clear sense of strategic purpose.
• (i.e. Rental vs. Transactional vs.
  Development).
• Strategic Thinker.
• Walk The Talk.
• What is the culture/climate?

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Know The Numbers

• Who will fund the purchase, and at what cost?
• Venture Capital
• Private Equity
• Loans/ Line of Credit
• Self-funding
• Review the business plans.
• SMART objectives
• Reality check
• Is there a budget and how is it tracked?
• Understand actual vs. estimate and causes of
  variances.
• Business / purchase decisions should be driven by
  the s, not emotions.

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Systems / Processes

• Technology.
• Sales process.
• Distribution/delivery.
• Process to improve performance.
  (Good To Great)
• Benchmarking
• Growth Process.
• Organic
• Via MA
• Partnership / Alliances

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Team/Partners Capabilities, Capacity, Commitment

• Key customer/supplier relationships.
• Sales Team.
• Legal Team.
• Operations Team.
• Accounting/Finance.
• Mentor Team.

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Understand The Market

• Understand the nuances of the target
  market.
• Who is buying, why, how often.
• What is the customers decision making
  criteria.
• Sales proposition.
  (Why me vs. others)
• Barriers to entry.
• Brand positioning.

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Question Answers
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