Business
The most important thing a buyer can do from the very beginning of a potential deal is to show how much they care about the company, the process, and the future of the seller's company. We've seen many buyers come in with a financial number first, which we believe is the wrong place to start. We've seen the most success in showing up and being excited about the deal!In this episode of Shoot the Moon, we'll cover things like:What needs to happen before getting to the first step or the introduction meeting?A seller should consider speaking to a broker or strategic advisor. This gets somebody on their side right away with years of experience in M&A to guide them and can join for the kick-off.An NDA between a buyer and a seller is typically signed before a meeting. Buyers should be respectful of NDA's and sellers should tell the story in the best way they can.Be prepared to treat the kick-off meeting as an equal exchange of information.Tips for getting ready for the kick-off call:Be on time!Be somewhere that is respectful and honors the time of each partyHave a good, stable internet connectionWear a good headset, headphones, and have a good microphoneTurn on your video if you are meeting virtuallyNon-verbals matter! Smile, be professional, and have good postureBe prepared - know enough about the other company to have a productive conversationBuyers: understand what the financials look like (but don't make it the focus) - what is the revenue of the company and what is the picture of profitability?We recommend not focusing so much on the P&L, but look at the strategic and cultural fit between your companies. Revenue Rocket has been helping IT Services firms buy and sell their companies for 20 years, if you're thinking about M&A, we'd love to talk.