In September 2018, I attended a panel discussion regarding the current private equity landscape.  This was put on by the Twin Cities chapter of the Association for Corporate Growth.  Some key points from the presentation:
  • It’s a seller’s market and there is nothing pending in the near-term that panelists felt would slow this down 
  • Private Equity Groups are turning over their business holdings in 1-2 year cycles vs. 3-5 in previous year
  • Pass through entities such as LLCs and S-Corps are the preferred targets
  • Rep and warranty insurance has become a regular expense in these transactions
  • Companies with engaged and motivated management teams in place and offering stable growth potential are of key interest to buyers

If you are considering attracting a buyer for your company, there are many items to address before you entertain feelers about a sale.  Especially if you want to maximize the value of the offer you could receive.  Similarly, if you’ve purchased a company or are attempting to blend two (or more) organizations and want to know where to go from here, please give me a call.