Simplifying M&A Services

The Waterfront Group serves the needs of privately-held business owners seeking expert guidance in how to prepare for and execute the sale of their companies. Our goal is to help simplify the process, by providing pre-sale consultation and full-service representation capabilities needed for an effective and confidential transfer of your business. Our primary services include:

Business Brokering | Business & Equipment Valuation | Merger & Acquisition Advisory | Strategic Buyer Searches | Succession & Exit Planning Consultations | Confidential Marketing of the Businesses | Financial Packaging & Due Diligence | Expert Witness Testimony

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Understanding the Value of your Business

To prepare you for the sale process, The Waterfront Group provides a fair market valuation analysis to establish a reasonable range of value for your business. This "go to market" valuation range considers a number of factors, including:

History/Trend of Revenues & Cash Flow | Size of Cash Flow (Relative to Similar Businesses & Also in Absolute Terms) | Working Capital Requirements | Marketability of the Business (Ready Market or Limited Buyer Universe) | Degree of Competition | Ease of Entry into Business | Industry Trends | Growth Opportunities for the Business | Unique Assets (Differentiators Like People, Processes, Licenses, Exclusivity Agreements) | Age & Quality of Physical Plant & Equipment Assets | Location & Facilities (Will Additional Capital Be Needed to Modernize) | Amount of Risk (Heavy Seasonality, Customer/Supplier Concentration) | Motivation & Flexibility of the Parties | Comparable Sales Data | ROI and Income Objectives of Buyers

These and other factors will be used to generate a cash flow multiplier for your business. Before we proceed with a client (seller) engagement, we will consult with you, along with any of your trusted financial advisors, to ensure there is an agreement as to the fair market valuation and the projected net proceeds of sale.

Requesting a Valuation

To request a valuation, The Waterfront Group will require recent full-year and interim financial statements and federal corporate tax returns. These will be used to determine the business' cash flow, also known as the adjusted net income or owner's discretionary cash (ODC). Taken together, the adjusted net income and cash flow multiplier determine the valuation range for the business.

Ultimately, the final consideration (price) paid reflects the parties' respective motivations, goals, and non-price terms of sale. At The Waterfront Group, our goal is to obtain the best combination of price and terms that meet our clients' objectives in the shortest amount of time, while maintaining confidentiality throughout the process.

Out-of-Scope Services

For business succession issues that go beyond the scope of our expertise, we draw upon a network of professionals to address your unique circumstances. This network includes transaction attorneys, CPAs, commercial lenders, and wealth managers.