Business owners need to know that there are many elements to consider. Some of the most important ones include:
- Enough financial resources to complete the deal as specified.
- Depth of capable staff to run the existing business and also execute an acquisition at the same time.
- The type, size, and geographical location of potential businesses are all important criteria to consider.
- The willingness to “pay-up” for acquisitions such as 6x EBITDA
- Assuming your acquisition search generates satisfactory deal flow
- A point person in the search process, preferably a CEO or CFO, who is reachable on a daily basis to discuss relevant matters.
- Complete access to sales managers and others by your business intermediary will help you stay involved with suggestions of target companies.