Sell-Side Process
Development
Going to Market
Closing
• Identify value drivers and detractors – that is, the factors that can positively or negatively impact the valuation of the business. • Prepare marketing documents that describe the firm’s business, history, management team, and prospects for the future. • Develop an extensive list of potential buyers based on fit. • Identify the right contact within the firm. Phase II: Identifying The Universe of Select Buyers: Phase I: Research, Analysis & Valuation:
Phase III: Initial Contact
Phase V: Offer & Execution
• This process includes helping the buyer complete their “due diligence” as well as negotiating deal terms. • Once an LOI has been submitted, ZG provides input and recommendations as we evaluate offers and negotiate deal structures, leveraging ZG’s deep repository of industry- specific knowledge, surveys and data. • ZG manages the request and distribution of additional information (RFI) through the Data Room. • Once an LOI or IOI has been signed, ZG assists in coordinating reviews with legal representatives and the prospective buyer. • The Seller legal team will assist with review and negotiation of the purchase agreement, employment agreements, etc.
• This involves confidentially contacting approved potential buyers using a one-page teaser. • Conduct phone interviews to gauge viability of prospective buyer. • Once interest has been indicated and confirmed, an NDA is executed, and marketing documents are distributed. • Simultaneously, ZG organizes an introductory call between The Seller team and the prospective buyer. • Profile interested parties based on fit, interest, and transactional ability.
Phase IV: Further Contact & Information Gathering
• ZG maintains communication with potential buyers. • Selection of short list of qualified parties then conduct company visits and management interviews. • ZG manages the request and distribution of additional information. • Goal : Solicitation of initial offers – term-sheet, IOI, LOI.
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