Buying a Company

Buying a company that will promote your business or investment strategy is a complex challenge, but a rewarding one when managed correctly. At any stage in that process, Lev2Tech can become involved and increase the potential success of your acquisition.

We identify and explain the risks involved in buying a specific business, make sure the terms of the deal are appropriate for your needs, nurture good relations with the seller, and help overcome any obstacles to closing the deal. If Lev2Tech is involved from the beginning, we can locate unique targets that most closely match your acquisition goals, and then manage the process to a successful conclusion.

The Buy-Side Service Process

Strategic Planning: Lev2Tech helps you determine if the market and your financial position are favorable to an acquisition. If so, we work with you to plan and implement the optimal strategy for reaching your specific goal. We take into account all financial, industrial and legal factors, with a view to improving your corporate valuation. We then perform a target search; and even if you have located a potential target, we advise you on its merits compared with other market options.

Acquisition Target Evaluation: We prioritize the candidates discovered through our comprehensive search, based on your strategic, operational and financial criteria.
After you have expressed interest in a given target, Lev2Tech performs a thorough analysis of the business: its size and competitive position, current value to its owner, business health, and future prospects under your ownership. We also offer consultancy on the post-acquisition process of integrating the acquisition into your corporate structure.

Closing the Deal: From drafting the Letter of Intent (LOI) to the concluding handshake, Lev2Tech manages every aspect of discovery and negotiation. Special attention is given to evaluating the due diligence materials, to confirm or disprove initial impressions, resulting in the best possible terms with minimal risk. The opening bid and subsequent negotiations are handled on your behalf, with a balance of professional skill and business integrity.

Special Buy-Side Advice

Financing: When capital is required to carry out the acquisition, Lev2Tech helps you analyze and choose from the best equity and debt options. We evaluate current conditions in the debt and equity markets, the appropriate valuation for the business you’re acquiring, and the tradeoffs involved in this kind of financing. Then we leverage Lev2Tech’s network to connect you with appropriate sources of capital, and accompany you through the funding process.

Management Buy-Out or Buy-In: Suggesting a sale of equity to the company’s management (either the current team or a future one) can become a strategic acquisition, but its success requires professional expertise. Lev2Tech draws on extensive experience in structuring these transactions, including third-party financial sponsors (a private equity firm, lender, or other entity) which provide options for liquidity and succession planning.