Tag Archives: Expert

Private Markets: Stop the Clock!!

According to Robert T. Slee, an investment banker and influential author of Private Capital Markets: Valuation, Capitalization, and Transfer of Private Business Interests, US private markets operate on a 10-year transfer cycle, and mid-market companies are currently in the midst of unprecedentedly high valuations and a pre-recession earnings boom (Seller’s Market). Slee’s corroborated data suggest […]

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Growth Strategy: Leave It All On The Field

A solid growth strategy provides companies with a quantifiable vision for growth in revenues and profitability; thereby, enhancing the value of the company post-implementation and increasing its attractiveness to strategic buyers. Company owners must identify the value drivers of their business, determine an acceptable level of risk, and decide on the best method for their […]

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BURGER KING® has been acquired by Carrols

ABOUT THE DEAL: Carrols Restaurant Group, Inc. (“Carrols”) (Nasdaq: TAST) has acquired six BURGER KING® restaurants in Kentucky and Indiana. Headquartered in Western Kentucky, the franchisee owns and operates six restaurants, and employs nearly 180 people. Over the last thirty years, the franchisee has built a talented workforce and a loyal, consistent, and predictable customer […]

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Did You Get What You Paid For?

Generally Accepted Accounting Principles (GAAP) are a framework of accounting standards, rules and procedures defined by the professional accounting industry. No single reference source exists for all of GAAP; briefly, the sources of GAAP are: Accounting principles promulgated by the American Institute of Certified Public Accountants (“AICPA”) including Financial Accounting Standards of the Financial Accounting […]

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Normalizing Adjustments & The True Company Value

Although a detailed analysis of the financial statements reveals pertinent financial data, the true value of a Company requires that normalizing adjustments be made to the financial statements. Normalizing adjustments reflect a more accurate financial performance, both historically and projected. Normalized financial statements also help determine the Company’s future cash flows, and assess its financial […]

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Due Diligence: It’s in the Cloud!

Upon execution of the Letter of Intent (LOI), buyers and sellers kick-start the due diligence phase of the mergers and acquisitions (M&A) process. Due diligence, a most critical step in the M&A process, provides buyers the opportunity to confirm the seller’s financials, determine the risks, establish the potential benefits and understand the overall strategic fit. […]

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The LOI: Defining “is”

When contemplating a merger and acquisition (M&A) transaction, it is important to consider each step of the deal process seriously; beginning with the end in mind. Executing a Letter of Intent (LOI) constitutes a critical juncture in the M&A process; however, if it’s that important, why is it non-binding? The importance of an LOI in […]

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Collaboration Generates Winning Deals

Investment bankers have access to an array of industry-specific data, statistics, and analytics; however, the most comprehensive understanding of a business’ nuances originates from sincere collaboration between sellers and their trusted M&A advisors. No two businesses are alike; therefore, sellers must carefully select an experienced team of investment banking and support professionals. A qualified advisory […]

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Up-Rite Systems, Inc. has been acquired by Fletchline, Inc.

ABOUT THE DEAL: Up-Rite Systems, Inc. (also referred to as the “Company” and “Sellers”) has been acquired by Fletchline Inc. (“Fletchline” or the “Buyers”). Established in 1993 and headquartered in Bardstown, Kentucky, the Company is a nationwide rack installation company; dealing exclusively in material handling equipment installations. Located in Springfield, Tennessee, approximately thirty miles north […]

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The Prospect Village Shopping Center has been acquired by Kroger

ABOUT THE DEAL: The Kroger Co. (NYSE: KR) has acquired The Prospect Village Shopping Center. Built in 2000, the Center is approximately 153,486 square feet, and anchored by a newly renovated Kroger Marketplace. Located on Hwy 42 in northeast Jefferson County in Prospect, Kentucky, the Center is conveniently located in one of the most affluent […]

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Traffic Builders has been acquired by GS Marketing

ABOUT THE DEAL: GS Marketing, Inc. (“GSM” or the “Buyers”) has acquired Traffic Builders, Inc. (the “Company” or “Sellers”). Headquartered in Louisville, Kentucky, Traffic Builders is a multichannel direct marketing agency servicing over 300 automobile dealers of all manufacturer types across the United States. The Company, with approximately 20 full-time employees, is an expert in creating […]

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Lynn’s Paradise Café has been acquired by Fresh Capital Group

ABOUT THE DEAL: Lynn’s Paradise Café (also referred to as the “Café” and “Sellers”) has been acquired by Fresh Capital Group (“Buyers”). Opening its doors in 1991, in Louisville, Kentucky, Lynn’s Paradise Café created a unique setting that has continuously attracted a diverse clientele from around the world. The Café has always made customers feel welcome; presenting […]

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Emergency Exits!

According to a number of recent surveys, including the Securian Financial Services survey, it’s estimated that less than 30 percent of business owners have an exit strategy. These figures are alarming given the inevitability of an exit, and the fact that most business owners’ accumulated wealth is tied to their businesses. After years of hard […]

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When Opportunity Meets Need

Companies driven by growth strategies need to consider mergers and acquisitions, especially when the following motivations exist: To capture operational synergies To grow market share or access to distribution channels, markets or products To provide new capabilities, technologies or talent Opportunities exist when “targets” provide: Increase scale Broadened product and service offerings Geographic expansion New […]

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NACVA’s 2015 40 Under 40 Honorees!

Congratulations to Allston Advisory Group’s Senior Managing Director, Nolan K. Kapp, for being selected as a 2015 NACVA 40 Under 40 Honoree!! NACVA and the CTI are founded on excellence, superior quality, and the spirit of pioneering. They have a rich history of partnering with visionary leaders across all spectrums of the accounting and financial consulting professions regardless […]

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Calculation of Value: The Precursor to an Exit

Business owners contemplating an exit from their business should begin the transaction process by engaging an experienced M&A Advisor to perform a Calculation of Value. Although the requirements for a calculation engagement may be more limited than for a valuation engagement, business owners should expect an efficient and systematic approach to the calculation of their […]

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Know When To Hold ‘Em

Exiting a business at its highest value requires business owners to have a deep understanding of their business, their industry, and the marketplace at large. As the publisher and businessman Malcolm S. Forbes said, “the best vision is insight.” Timing the market necessitates a business owner’s ability to recognize the not-to-often phenomena of “in the […]

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Looking Back to Move Forward

The Alliance of Merger & Acquisition Advisors (AM&AA) is the premier international organization serving the educational and resource needs of middle-market M&A professionals. AM&AA surveys its membership annually to provide insights into sell-side transaction multiples of earnings before interest, taxes, depreciation, and amortization (EBITDA) and sell volumes completed in the second half of 2014; generating […]

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Earn-Outs: A Viable Solution

A major point of contention between buyers and sellers in M&A transactions is the purchase price. Earn-out agreements provide buyers and sellers with an effective technique to “bridge the price gap.” Although opinions and experiences vary widely, carefully structured earn-outs can mitigate risk and successfully meet the needs of both buyers and sellers. Risk reduction […]

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An Omnipresent Thought: The Liquidity Event

The thought of “cashing out” lingers in the back of every business owner’s mind. Confronted daily with time constraints, market volatility, hawkish competition, profitability and growth objectives, and employee satisfaction, business owners often neglect taking the necessary actions to establish a viable exit strategy. There are simply not enough hours in the day. However, business […]

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