Firm News
Posted on Mar 1, 2020
What should a company do when first contacted by a viable potential buyer? Many companies (sellers) will face this dilemma, and there is no ideal answer. We suggest that you be "open" to ...
Continue reading "FIRST POTENTIAL BUYER CONTACT" »
Posted on Feb 1, 2020
As we enter 2020, the amount of potential M&A deals is expected to accelerate. Multiples remain strong (and unusually high for the best companies), averaging nearly 7.5 times trailing adjusted ...
Continue reading "THE LATEST IN M&A TRANSACTIONS" »
Posted on Jan 1, 2020
One of the best opportunities for U.S. sellers is the vast overseas market of buyers. However, changing the old adage, "let the seller beware." Provided herein are the major hurdles for ...
Continue reading "SELLING TO OVERSEAS BUYER(S)" »
Posted on Dec 1, 2019
Some investment banks focus solely on Sell-Side advisory. Others work principally on Buy-Side deals. Mentor Securities is staffed to provide full service for both types of transactions. The Buy-Side ...
Continue reading "M&A BUY-SIDE BANKING" »
Posted on Nov 1, 2019
There can be numerous reasons that a company is not sold. And some of them have little to do with the company itself. Even the most capable investment bankers and lawyers can fail to put Humpty Dumpty ...
Continue reading "MAJOR IMPEDIMENTS TO SELLING A BUSINESS" »
Posted on Oct 1, 2019
What happens when a retained sell-side company does not sell, even after an exhaustive marketing process? Well, the first thing is denial. Every company is wanted by someone, right? No exactly. Then ...
Continue reading "A FAILURE TO LAUNCH" »
Posted on Sep 1, 2019
Investment bankers can earn substantial sums for closed transactions, either sell-side or buy-side. But how many deals actually close? Probably less than 50%. So, there is a high risk of spending ...
Continue reading "PERSISTENCE OFTEN WINS" »
Posted on Aug 1, 2019
Some of the more prevalent aspects taking place in M&A transactions are the following: The typical Confidential Information Memorandum (CIM) is no longer a lengthy written document. Rather, it is ...
Continue reading "CHANGING LANDSCAPE" »
Posted on Jul 1, 2019
Most investment banks focus on the sell-side of a transaction, for the following reasons: The engagement includes a retainer for initial advisory work and conducting a process to find the best ...
Continue reading "WORKING THE BUY-SIDE" »
Posted on Jun 1, 2019
The good news is that completed sales of private firms is trending up. In 2018 the number of successful transactions was 8761, a 12% increase over 2017. The economy "roars" onward, ...
Continue reading "DEAL FLOW" »
Posted on May 1, 2019
Even those of us imbedded in the M&A world are sometimes confused by multiples paid. While each deal is unique, buyers and sellers continue to seek clarity about the most reasonable multiple for ...
Continue reading "THE CONFUSION ABOUT MULTIPLES" »
Posted on Apr 1, 2019
The first quarter of 2019 was excellent for Mentor Securities. Our inventory includes six sellside and five buyside transactions. Two significant closed transaction are the following: Cleancut was ...
Continue reading "Q1 MS News" »
Posted on Apr 1, 2019
Much of our valuation and investment banking services revolve around private equity (PE) firms. The primary interactions with PE's are the following: Valuation of partners' carried interests ...
Continue reading "PRIVATE EQUITY - FINDING TARGET ACQUISITIONS" »
Posted on Mar 1, 2019
One of the more vexing issues for the successful investment banker is deciding how much to really "share" with the seller(s) concerning the sale process. The myriad of issues faced by the ...
Continue reading "WHAT SELLERS NEED TO KNOW" »
Posted on Feb 1, 2019
Careful and effective investment banking professionals are circumspect about which prospects they want as clients. Thus, the intake interview is critical to that process. As an investment bank, the ...
Continue reading "Interviewing the Prospect" »
Posted on Jan 1, 2019
The most reasonable prognosticators agree that there will be no recession in 2019. In addition to that reality, owners will experience growth in revenues and profits. This is the right combination to ...
Continue reading "2019: Expect More Transactions" »
Posted on Dec 1, 2018
As an investment bank, the most critical part of our job is the first interview. This meeting is a two-way street, meaning that each party is there to determine if the prospective engagement is right ...
Continue reading "SELLER: IS YOUR MOTIVATION CLEAR?" »
Posted on Nov 1, 2018
This headline is not intended to dissuade any committed business owner from selling. It is a warning that a deal may go sideways or crater at any point in time, even just before the cash is wired to ...
Continue reading "SELLING YOUR COMPANY: ANTICIPATE THE WORST" »
Posted on Oct 1, 2018
For different but similar reasons, some buyers and sellers choose not to employ an investment bank (IB). When a trusted advisor strongly urges their client, buyer or seller, to hire an IB, that ...
Continue reading "WHY NOT USE AN INVESTMENT BANK?" »
Posted on Sep 1, 2018
As opposed to startups or early stage companies with little to no revenues, there is a vast market for raising growth capital. This market is buoyed by the explosion of non-traditional capital ...
Continue reading "RAISING GROWTH CAPITAL" »
Posted on Aug 1, 2018
The middle market and lower middle market for M&A transactions has been somewhat of a roller coaster for the last two years. The booming economy set in motion in early 2017 has both helped and ...
Continue reading "M&A ROLLER COASTER" »
Posted on Jul 1, 2018
We often write about M&A from the prospective of the selling company. But the opposing side to those conundrums are the issues facing even the most astute buyers. The risks of making a bad ...
Continue reading "BUYER BEWARE" »
Posted on Jun 1, 2018
We expected that the 2017 Tax Act would spur increased multiples for buyouts. At the same time, we did not expect some of the pricing we have heard of or experienced. One recent example was $11 ...
Continue reading "THE SUPERCILIOUS MARKETPLACE" »
Posted on May 1, 2018
How does a professional investment banker (IB) create his brand or reputation? At the end of the day, he/his firm are judged by the client successes: type, size, industry, and niches within those ...
Continue reading "WHAT'S IN A REPUTATION?" »
Posted on Apr 1, 2018
There are many consequences of the 2018 Tax Act, especially for M&A. Perhaps the most evident affects of the new law are the following: With the reduced rate for C corps from 35 to 21%, after-tax ...
Continue reading "M&A PRICING UNDER TAX ACT" »