The Advantages of the Rydell Financial Approach

1.   We can get a better price for your company:

Our experience in corporate valuations and current pricing gives us a depth that is critical to knowing what can be achieved and how to negotiate it.  We make buyers compete and are able to drive up the price.

2.    We can advise you on how to negotiate the structure of a sale:

Buyers will propose a combination of a cash payment plus other consideration such as preferred stock, common stock, seller notes, non-compete agreements, consultant agreements, bonus formulas, and earn outs.  Each mode has different tax, present value, and risk implications.  We specialize in these issues and would be on your side to figure out the best solution for you.

3.   We use special methods to maintain confidentiality:

A highly undesirable scenario is for the word to get out that your company is for sale.  We know the buyers and are able to qualify them before they know your name.  Also, we coordinate most of the process and keep communications into your office down to a minimum so you are not getting compromising phone calls and letters that employees could accidentally see or hear.

4.   We achieve results quickly:

We can generally get to a closing in 4 to 6 months.  Selling a business is distracting for the owner and the risk of disclosure increases with the duration of the process.

5.  Having a “third party” involved has its advantages:

Buyers don’t accept what a seller says at face value.  On the other hand, we come off as more objective, we know many of the buyers, and have substantial credibility with them.  We can also negotiate on your behalf in such a way as to increase your negotiating strength..  For example, when you are face-to-face at the negotiating table you can be forced into a response and it’s harder to leave the negotiations to regroup, study proposals or bounce ideas off someone.  As a third party we can easily say we’ll have to take a counter proposal back to the seller for review.

6.  We maintain a fiduciary obligation to our selling clients:

We pursue your best interests at all times.  We understand your goals and coordinate with you throughout.  The process can be very time consuming, and we handle most of the work.  This allows you to focus on keeping your company strong.

7.  We use a team approach:

Rydell is not a one-man shop.  Although one key partner is responsible for coordinating all aspects of a selling project, the full expertise of our group of professionals is brought to bear on every project.  Our research department is second to none, and our cumulative, diverse experience brings perspective and an outstanding network of contacts.

Next Page:  The Disadvantages

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