The Exit Strategies Newsletter

The Exit Strategies Newsletter - Issue 11

I'm pleased to announce a special half day version of the Exits Workshop in Victoria on May 22, 2013. This will be the first time we've offered the Exits Workshop on Vancouver Island.

If you are thinking about attending please register soon - this workshop sells out earlier every time it's offered. Details below.

Good luck with all of your exits,

Basil Peters

Business Valuation- What Will Your Company Sell For?

Valuation Principles - Growth graph

My bookshelf has an entire section of books on valuation. Even though I deal with valuation every day, I haven't looked at any of these books for at least a couple of years. It's just not a process you need reference books for. Most of the time, acquisition valuations can even be done without a spreadsheet – many professionals will work out the valuation on a whiteboard or even a post-it-note.

This sounds simple, but valuation is actually quite challenging. One reason is because it's based on the 'type' of company and the 'quality' of earnings. Growth rate, predictability and market conditions are also significant, but difficult to quantify inputs in the valuation process.

---> Read the full article here:

What is an M&A Advisor?

Why haven't you heard the term more often?

One of the speakers at a recent Exit Strategies workshop in Vancouver (a well-respected senior M&A lawyer) commented that up until a couple of years ago he'd rarely heard the term 'M&A Advisor'. He went on to explain that while there were certainly professionals helping to execute exit transactions, they didn't often describe themselves as 'M&A Advisors'.

At this same workshop, an attendee asked: "What is an M&A Advisor, exactly?" When I didn't have a crisp off-the-cuff answer, I started to think about writing this article.

In my travels throughout North America, I've noticed that the use of the term 'M&A Advisor' varies considerably from region to region. In the northeast, people often use the term 'investment banker' – or 'i-banker'; which is still the pervasive Wall Street-centric term for someone who helps sell a medium or large-sized company.

---> Read the full article:

M&A Advisor Fees for Selling a Business

Information about M&A advisor fees for selling a business is surprisingly difficult to find. I'm not sure why other M&A professionals are reluctant to discuss fees and even less sure it makes sense in today's online world. This is a current summary of the fees I'm seeing in the market.

This is an updated excerpt from: Early Exits – Exit Strategies for Entrepreneurs and Angel Investors (But Maybe Not Venture Capitalists).

Since the first version of this post in 2009 there have been a few other posts on M&A fees. Some of the good ones are linked at the end of the post.

---> Read more:


Exits Workshop in Victoria – May 22, 2013

I am pleased to announce that a special version of the Exit Strategies Workshop will be held in Victoria on May 22, 2013.

The attendees consistently rate this workshop as one of the best. Here's some feedback:

Two Victoria resident CEOs will describe the inside story on their very successful exits.

Mark Longo, a Viatec board member and veteran M&A transaction lawyer, will be speaking about the legal aspects of exits. For more on the speakers:

Due to the generous contributions of our sponsors, we are able to offer this special half-day Exits Workshop for only $99.

The Exit Strategies Workshop has been delivered six times in greater Vancouver – selling out every time. Please don't delay your registration for Victoria on May 22.

"If you are thinking of selling a company in the next few years, this workshop will be invaluable."

---> For more information, or help registering, please visit:

If you know someone who would find this newsletter relevant, please forward it to them.

If you missed any of the previous newsletters, they are archived here.

I hope to see you on May 22 in Victoria!