We understand the investor mentality and know what it takes to finalize a transaction. We also understand what investors look for in a business and help business owners prepare for the exit. Our focus is helping owners of mature businesses plan their exit and prepare for retirement.
Sale Mandates: We believe there is an optimum exit for every business, be it a strategic sale to a group wanting to enter a new market, a management buy-out or buy-in or an acquisition by professional investors. We work closely with business owners to understand their needs, be it business growth, retirement or partial cash-out and devise an exit strategy that best meets their needs. Having been involved with numerous transactions, including those that didn’t reach financial close, we have a strong understanding of what it takes to close a transaction without wasting time and resources. We also have a strong understanding of legal documentation which comes in useful when negotiating terms and finalising agreements. Our experience with transactions and deep understanding of the investor mentality and needs helps us with negotiating the optimum price and position.
Pre-Retirement Services: Pre-Retirement Services and Exits is the ideal service for those business owners who wish to maximize their returns while planning for a smooth retirement. Retirement for business owners increases the risk to potential investors and reduces the possible investor pool as well as the potential selling price. Incubate Advisory offers a unique solution to the problem. Our team immerses itself in the management of the business, thereby gradually reducing the operational role of the business owner. This increases the owner’s Board or oversight role. Potentially, we will take a minority stake in the business, grow the business, perform a Sell-side Due Diligence and sell it together with the owner at a higher multiple. The higher multiple is gained while managing the risk associated with the owner leaving the business.
Exit Preparation – Sell-side Due Diligence: Allowing a potential investor to conduct buy-side due diligence on a business without preparation is a path to failure. At Incubate, we conduct a thorough financial sell-side due diligence on behalf of sellers and advisors to highlight possible issues that may be raised by potential buyers, giving management time to mitigate or rectify the issues, so they do not affect the purchase price or terms of the sale. We also prepare management for the buyer’s due diligence process to be ready for possible negotiation tactics. The aim of Sell-side Due Diligence is to address any and all concerns and issues that may be relevant to even the most demanding buyers and to highlight positive aspects in the business that have been understated in the company’s financial statements.