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Exc lus ive Midd le Marke t Repo r t3 Ways Top Execut ives Make the Most o f M&A
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THE RIGHT INSIGHTS THE RIGHT ADVISORS THE RIGHT SYSTEMS
A SMARTER DEAL PANEL
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POLLING QUESTIONS
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OUR GIFT FOR YOU
F i l l o u t t h e s u r v e y t o g e t K e y F i n d i n g s f r o m t h e M & A r e p o r t a n d b l o g a r t i c l e , 5 C O O I n s i g h t s t o K e e p Yo u r A c q u i s i t i o n s A l i v e .
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M IDDLE MARKET M&A INSIGHTS
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Source: NCMM, Middle Market M&A, 2018
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Source: NCMM, Middle Market M&A, 2018
M&A IS CRITICAL TO MID-MARKET GROWTH
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Source: NCMM, Middle Market M&A, 2018
STEADY RHYTHM – LIMITED EXPERIENCE
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Source: NCMM, Middle Market M&A, 2018
LARGE COMPANIES ARE MOST ACTIVE
In the last three years …
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TOP CHALLENGES
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Source: NCMM, Middle Market M&A, 2018
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Source: NCMM, Middle Market M&A, 2018
THE MIGHTY MIDDLE MARKETMOST COMPANIES RELY ON THEMSELVES
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Source: NCMM, Middle Market M&A, 2018
BUT STRATEGY IS THE MOST CONFUSING PART OF DEAL MAKING
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WINNING FORUMLA
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Source: NCMM, Middle Market M&A, 2018
THE MIGHTY MIDDLE MARKETBECOMING ”DEAL-READY” IS KEY TO SUCCESS
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REAL WORLD EXAMPLE – BUYER
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Source: NCMM, Middle Market M&A, 2018
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Organ ic M&A
RIGHT STRATEGY + RIGHT RESOURCES
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BE CLEAR ON WHAT SUCCESS MEANS
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SUCCESSFUL INTEGRATION
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PREPARE FOR SUCCESSFUL INTEGRATION
50-90% of Acquisitions Fail in the First Year!
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ONE TEAM - ONE SYSTEM
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AVOID UNWELCOME SURPRISESOne system for consistent reporting across your portfolio
Real time information alerts you when a key priority is off track
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The key to getting organic and M&A growth initiatives done is to do strategic, planning and weekly meetings right so you can keep your plan on track.
THE RHYTHM SYSTEM PLAYBOOK
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SUCCESS TIP 1: STRONG SYSTEM IN PLACE
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DON’T KEEP YOUR PLAN A SECRET
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ADJUST WEEKLYS o l v e p r o b l e m s f a s t a n d k e e p y o u r p l a n o n t r a c k .
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SPREADSHEETS DON’T WORK
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CONNECTED COMMENTSKnow the story behind the numbers.
www.rhythmsystems.com
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M&A – INTEGRATING PEOPLE
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SUCCESS T IP 2 : PEOPLE PLAN IN PLACE
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WHAT ABOUT ME?
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ROLE & GOAL CLARITY
Build job scorecards1. CEO2. Executive team3. Repeat with management
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JOB SCORECARD
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1 ST COMBINED EXEC TEAM MEETING
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E X E C I N S I G H T
“I was so proud of our people. Our tree bent but never broke because our culture was so strong. The tree bounced back.”
– Steve Hoffa, COO, Alpha Guardian
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NEXT STEPS
Schedule a conversation
Schedule 30 minutes to see how our business execution system can help you get more ROI. [email protected]
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REAL WORLD EXAMPLE - SELLER
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SOLD FOR 2X VALUATION
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Q & A
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THE DEAL TEAM
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Source: NCMM, Middle Market M&A, 2018
EXPERIENCE TO ADDRESS BUYER CHALLENGES
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Source: NCMM, Middle Market M&A, 2018
IT integration planning
Be tax efficient, but don’t let taxes override strategy
Business / personal / sales tax implications
Preparing and maintaining financial statements for all requested periods
T H E R I G H T T E A M O F A D V I S O R S
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OUR GIFT FOR YOU
F i l l o u t t h e s u r v e y t o g e t K e y F i n d i n g s f r o m t h e M & A r e p o r t a n d b l o g a r t i c l e , 5 C O O I n s i g h t s t o K e e p Yo u r A c q u i s i t i o n s A l i v e .
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Q & A
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T h o m a s A . S t e w a r ts t e w a r t . 1 4 9 0 @ o s u . e d u
w w w. m i d d l e m a r k e t c e n t e r . o r g
THANK YOU