Is A Reverse Merger The Way To Fund Your Startup?

Startup Professionals Musings

Thus I’m getting more questions on new mechanisms, like crowd funding, and an old one long out of favor, the so-called “reverse merger.” Reverse mergers may not get your startup on the Nasdaq. The reverse merger process itself doesn’t raise any capital.

Mergers and acquisitions take thought and planning

Taffy Williams

Perhaps, they have a difference in sales strategy that will allow for a greater market capture. strategy entrepreneur business plan acquisition Startup agreements leadership MergerIn a recent discussion with the CEO of a private company, an acquisition became the dominate topic.

Trending Sources

6 Challenges In Going Public Through The Backdoor

Startup Professionals Musings

Thus I’m getting more questions on new mechanisms, like crowd funding, or going public through the backdoor as a reverse merger. Reverse mergers may not get your startup on the Nasdaq. The reverse merger process itself doesn’t raise any capital.

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5 Ways CEOs Should Lead After Merger or Sale

Inc Startups

The hard work of keeping your company going begins the day after a transaction closes. Many CEOs believe a true test of their leadership occurs when their company is being sold, or when it acquires another company. An even more important test: how to lead the new company.

How Winning Startups Tackle Tough Growth Constraints

Startup Professionals Musings

But in my experience as a startup advisor, too many entrepreneurs get stuck there, and always find excuses for not really exploring mergers, acquisitions, partnerships, and alliance alternatives. growth constraints mergers organic outsourcing

Maximizing The Value Of Your e-Commerce Business

YoungUpstarts

The most important thing that you can in order to maximize the sales price of your e-commerce business is to widen your profit margin as much as you can. The final sales price is directly proportional to your annual profit, so the higher your profit, the higher your sales price.

Sales 31

5 Actions may enhance customer diversity or allow you to recover from a loss

Taffy Williams

One way to diversify is to assign or hire a business development or sales person to seek other clients in different sectors. Seek alternatives – If you have a cushion, one option may be to seek a merger or acquisition immediately. What plans do you have before they are GONE?

Planning for the Future: Your Exit Strategy

Up and Running

Common exit strategies include being acquired by another company, the sale of equity, or a management or employee buyout. Acquisition: The acquisition is often known as a “merger and acquisition.” An acquisition or merger does not have to happen on a big scale.

Organic Growth Startups Won’t Scale Competitively

Startup Professionals Musings

Even mergers and acquisitions (M&A) came quickly. Economies of scale also apply to marketing, distribution, and sales. acquisitions business entrepreneur growth mergers organic growth

5 Tips for Syncing Up Channel Marketing Content Following an M&A

Blogtrepreneur | Entrepreneur Blog

Mergers and acquisitions (M&A) happen all the time – especially in the world of small business. These processes are always part of the overall merger/acquisition launch cycle and, when ready, can be inserted into existing web, mobile and social spaces.

3 Quick Entrepreneurial Sales Lessons

OnStartups

3 Quick Entrepreneurial Sales Lessons. Permeating the human science (or art) of sales is this fundamental idea: sales fail all the time. One of the hardest things for me to get used to, as a geek/artist/writer in business, is the constant disappointment of sales.

18 Ways to Make Your Financial Model Stand Out to Investors

David Teten

A model that shows X% growth over time with no embedded correlation to sales/marketing is a huge red flag. More reasonable: a company with a direct sales model may drive revenue growth based on the number of productive sales reps and a quota, with a target that is higher over time.

Taking the Mystery Out of Mergers

Inc Startups

Mergers and acquisitions often feel as if they’re shrouded in secrecy. If news of a sale or merger gets out prematurely, it can spark nasty rumors from your competitors, internal anxiety among your employees, and uncertainty among your suppliers and clients.

A Summary of Current Trends in Canadian Mergers and Acquisitions - 2011

Recent Buzzes - VC Experts, Inc.

Where a bidder in a competitive sales process is also a secured creditor of the target, the bidder may offer to satisfy the purchase price by having it credited against the debt owed to it. The Canadian government adopted a SIR, or second request, process for merger reviews and appointed a new Commissioner of Competition in 2009, and since that time, 10 SIRs have been issued. cross-border mergers and acquisitions. Canada cross-border merger and acquisition transactions.

How To Preserve Your Company Culture After An Acquisition

YoungUpstarts

Benoit Vialle is the COO of NakedWines.com and a seasoned sales and marketing executive, who has spent 15+ years developing tech and ecommerce businesses across the world. Thinking Aloud Benoit Vialle company culture mergers & acquisitionsby Benoit Vialle, COO of NakedWines.com.

Too Lijit

Seth Levine's VC Adventure

For a time, Lijit pursued a similar model and having bumped into Federated in many a sales process we can attest to the strength of the Federated sales team. Federated brings to the combined entity a large and established sales force and the ability for Lijit publishers to access premium content relationships and advertising. Foundry Companies Mergers and Acquisitions acquisition federated media foundry company acquisitions Lijit

Preparing For An Acquisition

YoungUpstarts

Depending on your location and industry, your company may have federal, state, foreign and sales tax filing requirements, all of which will be heavily scrutinized by the potential acquirer. Professionalisms business acquisitions business advice Jeff Stark mergers & acquisitions

David And Goliath: How Your Startup Can Land An Enterprise Client

YoungUpstarts

The most effective way is to find a trigger  such as new industry regulations, a change in leadership, or a merger  to fuel a companys appetite for change. Once youve identified the trigger to activate a brands desire for your product, you need a sales strategy.

10 Answers That Make Your Startup Plan Investable

Startup Professionals Musings

What are your specific marketing and sales plans? You need to identify pricing details, sales channels, strategic partners and a customized marketing plan consistent with your industry and target segment.

Bootstrapping Organic Growth Makes Startup Sense

Gust

As soon as you bring in investors, they force you to plan for an exit (merger or sale) in three to five years. Image via Flickr from Food For Thought album. When someone asks me for the best way to fund a startup, I always say bootstrap it, meaning fund it yourself and grow organically.

ODP >> Takeover Target - December 11, 2014

Chaganomics

ODP, $7.54/shr - NOW AT $7.99) supplies office products and services to consumers and businesses through approximately 2,000 stores and its primary websitewww.officedepot.com in North America (approximately 80% of sales) and select international countries (20% of sales). ODP is entering the second year of a three-year integration plan following its merger with Office Max in late 2013 and the combined company generates annual revenue of approximately $16 billion.

Bootstrapping Organic Growth Makes Startup Sense

Startup Professionals Musings

As soon as you bring in investors, they force you to plan for an exit (merger or sale) in three to five years. When someone asks me for the best way to fund a startup, I always say bootstrap it, meaning fund it yourself and grow organically.

Have You Explored Every Business Growth Alternative?

Startup Professionals Musings

Even mergers and acquisitions (M&A) came quickly. Economies of scale also apply to marketing, distribution, and sales.

Too Lijit

Seth Levine's VC Adventure

For a time, Lijit pursued a similar model and having bumped into Federated in many a sales process we can attest to the strength of the Federated sales team. Federated brings to the combined entity a large and established sales force and the ability for Lijit publishers to access premium content relationships and advertising. Foundry Companies Mergers and Acquisitions acquisition federated media foundry company acquisitions Lijit

Don't Let Good Friends Hear About It On TechCrunch

A VC : Venture Capital and Technology

We have a lot of friends in the startup world, entrepreneurs, VCs, management team members, and it is quite often that we are involved in a transaction, a financing, a sale, a merger, that might impact them and their interests. A few weeks ago, we were getting ready to close on an investment. I asked one of my partners when the news of the financing would be announced. He said, "pretty much right away."

Adding Slides Does Not Enhance Your Investor Pitch

Gust

Marketing, sales, and partners. Describe marketing strategy, sales plan, licensing, and partnership plans. What is the planned exit strategy (IPO, merger, sale, including likely candidates)?

Smart Entrepreneurs Plan Ahead For A Startup Exit

Startup Professionals Musings

Investors know that the fun of a startup turns into managing production processes, sales processes, and personnel in a few years. The last thing a new entrepreneur wants to think about for a new startup is how it will end.

The Baby Boomer Seller Tsunami: Why 2016 Is The Year To Sell

YoungUpstarts

It will be no different for mergers and acquisitions and small business sales. There are many more qualified buyers searching for good business opportunities than good businesses available for sale.

Convertible Debt – Conversion In A Sale Of The Company

Feld Thoughts

In this case, the convertible debt document doesn’t allow the debt to convert into anything, but at the same time mandates that upon a sale the debt must be paid off. The potential bad news is that if the merger is an all stock deal, the company will need to find a way to find cash to pay back the loan or negotiate a way for the acquiring company to deal with the debt. Convertible Debt acquisition convertible debt m&a sale

Join The Unicorn Club Of Billion-Dollar Companies

Startup Professionals Musings

The smartest ventures are always courting a multi-billion dollar sale or merger with giants in the industry, including Google (YouTube), Microsoft (Skype), and Facebook (WhatsApp).

These 10 Key Elements Make a Business Plan Fundable

Gust

Marketing, sales, and partners. Describe your market penetration strategy, sales channels, pricing, and strategic partnerships. Convince investors that you have lined up sales channels, strategic partners, and a viable marketing strategy.

The Tipping Point (E-Commerce Version)

Jeff Jordan

One talked about how traffic to brick-and-mortar stores was well below expectations, and that these retailers were forced to discount tremendously to drive sales. It reports that e-commerce penetration of total retail sales in the U.S.

What VC Can Learn From Private Equity

A VC : Venture Capital and Technology

Both are purchasing stock in privately held businesses with the hope that you can sell the stock at higher prices in a merger/sale transaction or a public offering. It is friday and that usually means a fun friday or a feature friday but I’m stuck on a plane flying back from a week on the west coast and have the time and inclination for a longer post. So we will return to our regularly scheduled friday programming next week.

These 10 Key Elements Make a Business Plan Fundable

Startup Professionals Musings

Marketing, sales, and partners. Describe your market penetration strategy, sales channels, pricing, and strategic partnerships. Convince investors that you have lined up sales channels, strategic partners, and a viable marketing strategy.

How to Avoid Innovation Theater: The Six Decisions To Make Before Establishing an Innovation Outpost

Steve Blank

If the innovation threats the company faces do not match these, the corporation may need a different approach to addressing the disruption such as making a large scale acquisition, e.g., VMWare’s acquisition of Nicira , merger, or outright selling itself, e.g., EMC’s sale to Dell.

Cash Flow 101: Building a Cash Flow Statement

Up and Running

Most transactions relating to the sale or purchase of property, equipment, or other non-current assets are included in your investing activities, as are any expenses tied up in mergers or acquisitions. (Note: This is the third installment in our “Cash Flow 101” series.

For Equity Investors, A Startup Has To End To Win

Startup Professionals Musings

Investors know that the fun of a startup turns into managing production processes, sales processes, and personnel in a few years. The last thing a new entrepreneur wants to think about for a new startup is how it will end.

What Makes Method's Sale to Ecover So Different?

Inc Startups

So what makes Method founders Eric Ryan and Adam Lowry believe the sale to Ecover could buck the trend? Mergers and acquisitions have a startlingly high failure rate--50% to 80%--depending on which research you choose to believe. In other words: this merger isn't just about liquidity.

Adding Slides Does Not Enhance Your Investor Pitch

Startup Professionals Musings

Marketing, sales, and partners. Describe marketing strategy, sales plan, licensing, and partnership plans. What is the planned exit strategy (IPO, merger, sale, including likely candidates)?

Entrepreneurs Need New Growth Models To Scale Up

Startup Professionals Musings

Even mergers and acquisitions (M&A) came early. Economies of scale also apply to marketing, distribution, and sales.