Buyouts and Buy-ins
Affordable credit, expansion of the capital markets, competition to build shareholder value, retiring business owners, these represent the opportunities that exist in order to focus a business in a new direction or to advance its development. And these are some of the reasons why we are seeing increasing numbers of management buyouts, leveraged buyouts and management buy-ins.
The professionals of BDO are adept in helping management teams evaluate buyout/buy-in potential and implementing successful transactions. We can help you determine the following: whether a business offers sufficient benefits, whether the internal and external environments are conducive for a buyout, or whether performance, cash flows and profits are sufficient to attract the requisite financing.
While successful buyouts rely on the appropriate capital structure and financing, accessing financing is particularly challenging for leveraged buyouts and management buy-ins. Leveraged acquisitions require a significant amount of borrowed funds and management buy-ins pass control of a business to outside management teams, thus creating the perception of greater risk.
BDO can help to devise an appropriate capital structure, develop a business plan and raise the necessary financing for all types of buyouts and buy-ins –no matter how complex. Our professionals offer expertise and credibility to facilitate the transfer of ownership. From valuing the business, to purchase negotiations, to developing a transition plan, we work to ensure that the management team is well positioned to assume control of the business and achieve its potential.
