Many companies or consultants in M-A only accept exclusive mandates. It considers that an exclusive mandate is preferable for both parties, as it clarifies all parties involved. It improves the chances of a successful sale and can significantly shorten the term of office. Councillors feel that their efforts deserve a mandate. They research, choose, look and approach them. An advisor presents the basics of the transaction to a buyer and, if seriously interested, the seller is assisted in the negotiations. With this article, we want to help business owners. We want to give them an objective opinion on the importance of the mandate they have chosen. The document explains why a written, exclusive and maintained mandate may be the best choice if you are serious about selling your business. Our recommendations and comments are based on our experience with hundreds of cases, large and small. At the end of the day, it is an entrepreneur`s choice to choose the type of mandate he or she prefers and to bear the consequences of this election. Marios Argyris Freitag 7 November 2014 Website: www.dealmasters.co Two points: First, as a media consultant, we need to train our clients. Even highly professional companies generally do not appreciate the amount of work involved in the company, especially if they have not participated in M-A before.
Second, we must ensure that the customer is committed and does not use us to provide free services. This means that (a) the customer should in any case sign a warrant and (b) that at least the basic tasks necessary to perform a task of M-A will be paid by the customer upon delivery. B for example, evaluation, deal structuring, summary and teaser, appointment sheet, etc. These require many quality schedules that we cannot provide for free. And we reduce our success costs to take into account the fact that the client takes a share of the risk and does not transfer the full risk to us. Us Startups For U.S. startups, the Founder Institute offers some instructions on numbers, as well as a free presentation agreement to avoid the formal framework of the relationship quickly and without legal headaches. You can read your instructions and access the American model here. There are obvious consequences for any type of mandate you give. I would like to describe here a few cases and the risks you are taking.