Transition Planning - (Sellers/Second Edition)

REWARDS
Pavilion has acted for many respected businesses to structure and
execute significant corporate financial transactions in the mid-cap
marketplace. The advantages of working with Pavilion include:
4 Access to objective advice, professional insight and judgment
4 A strategic partner that keeps our best interests in mind
throughout the transaction
4 Essential market intelligence both locally, nationally and globally
4 Maximize the transaction value
4 Access to pre-qualified investors and strategic buyers
It’s a proven fact, Pavilion has the skills, talent and know-how to
achieve a significantly higher selling price than any other organization
in Western Canada.
AVOIDING THE PITFALLS
What is the difference between a company that is sold versus bought?
It’s a fact that most business owners will only sell one significant business in their lifetime. The process of selling
a business is complicated with many concurrent moving parts. Selecting the right partner in the selling process
will make a significant difference in the outcome, as outlined below.
CASE STUDY
In a recent example, a mid cap business owner worked closely with their highly reputable top tier advisors for
over 15 years. When the owner was ready to sell, the advisors conducted a valuation and stated that they could
sell the company for an estimated value of $12 million. After a year on the market with no success, the business
owner approached Pavilion.
Pavilion conducted a new valuation, which determined the business was actually valued at nearly $20 million.
With Pavilion’s innovative marketing initiatives, the business gained interest from prospective buyers and within
8 months, the right buyer was found.
Target enterprise value
Other Advisors
$12 Million
The Pavilion Team
$19 Million
Number of bidder enquiries 29
132
Shortlisted bidders in negotiation 5
19
Highest bidder $ 9.5 Million $16.5 Million
$7Million
Difference in sale value
The bought company had significantly more buyer enquiries and resulted in more
competition and enabled an improved outcome for our client. The Pavilion fee
was paid for many times over and the client got the increased value they deserved
for their years of hard work.
TRANSITION PLANNING GUIDE 21