Elliott Holland Explains Why Buying & Selling Companies is a Barbaric Sport on Intentional Growth Podcast
Elliott Holland, Managing Director of Guardian Due Diligence, recently sat down with the Intentional Growth Podcast to discuss why he feels that buying and selling companies is a barbaric sport.
Today's M&A game isn't played by timid people—it’s a dog-eat-dog world out there, and you need to know what it takes to thrive.
In this episode, Elliott talks about strategy when competing in the barbaric sport of buying and selling businesses. Learn about what influences different investors’ decisions, what they’re looking for in deal terms, and how to expertly share the risk during negotiations. This episode is an absolute must for any business owner looking for funding or considering becoming an investor or buyer themselves.
Here are thing’s you’ll learn in this podcast:
What You Will Learn In Today's Podcast Interview
How buyers think about the risk of a company.
The crucial role trust plays in closing a deal.
The difference between a buyer-centric structure and a deal-centric structure.
What happens after an LOI (letter of intent).
Why being light and humble about predicting future cash flow can be a good thing.
How buyers assess a seller’s determination to closing the deal.
The biggest ‘gotchas’ sellers should look out for.
How buyers handle risk through price and terms.
The difference between deal breakers and surprises.
Why Elliott calls the purchase price the ‘country club’ number and how you can overcome it.
The three different types of concentrations to be aware of (vendor, employee and customer) that can reduce the value of a company.
How working capital plays into closing the deal.
The benefits of sharing risk with the person across the table, rather than making them your enemy.