7 Rules of Turning Your Company into Cash

摘要

Selling a privately held middle market company is an art, not a science. Middle market deals are defined as deals with transaction prices from 2 million dollars to 250 million dollars. Even experienced professionals realize there are few sources of empirical data to use in pricing a middle market deal. The available information is usually sparse and superficial, therefore of limited utility in determining a transaction price. In addition, the procedures to sell or value a middle market company, the valuation multiple to apply, the appropriate transaction structure, and the likely events that will occur after a closing are substantially different for middle market deals than for the more publicized, major public deals. Due to the individuality and complexity of middle market deals and lack of meaningful information on the subject, it is essential for a seller to know these seven critical riles of a successful sale of a company.