Insights

Videos, articles, & advice from Kirk and his network, to help successful founders find better outcomes.

Financials Mike Simpson Financials Mike Simpson

Add Backs for Adjusted EBITDA

If you're a founder contemplating the sale of your business, or you just want to better understand the process, the term "Adjusted EBITDA" will come up. A lot. And while the trip from Net Income to EBITDA is basic accounting arithmetic, get to that "Adjusted" number is a bit more art than science...here's a few tips.

Read More
Mike Simpson Mike Simpson

Insights from SXSW 2022

One of our other takeaways from @SXSW is that small, committed groups of people and organizations make all the difference in social change, technology, entertainment, business, and more broadly in the World. If you're a founder and a much larger acquirer is using high-priced and arrogant advisors to steamroll you from LOI through diligence, remember that greatly rarely comes from large organizations - know your value and lean on your team to get full value and protect your legacy.

Read More
Mike Simpson Mike Simpson

Selling Your Company for More Money

Buyers of business like yours pay more for specific things, including profit margin, consistency, and growth, but there's more to it than just nailing those points. Here's a few tips that will be worth a lot of $$ when it's time for you to sell your company.

Read More
Mike Simpson Mike Simpson

Balancing Your Fears and Key Deal Points

If you're founder in the process of selling your company and balancing the cash and structure of your deal with all of the reps, warranties, indemnities, and other dependencies, you might lose focus. Worse yet, you might let your fears drive things to your buyer's advantage by focusing on the lesser issues. Here's our best advice on the topic.

Read More
Mike Simpson Mike Simpson

Great Advisors Act As Guru, Guide, And Gladiator

The best advisors, whether pure management consulting, professional services like legal and tax, and especially in transaction advisory work, the most successful outcomes happen with advisors who play three key roles for founders: guru, guide, and gladiator.

Read More
Mike Simpson Mike Simpson

Transaction Bonuses for Key Employees

If you're a founder contemplating or in the process of selling your business, and you want to be sure to take care of key employees, here's a couple of helpful tips to do it right for everyone involved.

Read More
Mike Simpson Mike Simpson

Private Equity Comes in Many Flavors

We take a couple of calls each week from founders exploring their options for liquidity who are certain that they don't want to sell to 'Private Equity'. We get it...that segment could definitely use some good PR! Still, our advice is, don't be too quick to shut off an increasingly varied and important source of capital.

Read More
Knowing Your Why Mike Simpson Knowing Your Why Mike Simpson

You May Have Missed Your Window

If you're a founder who was hoping to sell in 2021, either to tap the M&A boom, or avoid higher capital gains taxes, or just because you're ready to be done, the bad news is you've probably missed the market. But there's a silver lining in waiting to 2022 and beyond!

Read More
Mike Simpson Mike Simpson

Make Hard Decisions Now to Maximize When you Sell Later

If you're a founder heading toward a sale or other capital event, it might be time to look at whether family members and friends should be part of the business you present to buyers. Loyalty is important and commitments need to be honored, but be smart about the tradeoffs to maximize your outcome.

Read More
Financials Mike Simpson Financials Mike Simpson

Beware the Working Capital Adjustment

If you're a founder selling or contemplating the sale of a manufacturing business, this information might save you $ millions and more importantly, save your deal. This is one pesky accounting term that should be defined (maybe even with attachments) in your LOI and Purchase Agreement.

Read More
Due Diligence Mike Simpson Due Diligence Mike Simpson

Not Every Buyer Move is Strategic

When we get into the process of, or negotiations to sell our companies, we sometimes infer strategic significance from every email or phone call with our prospective buyer. Sometimes those one or two word answers, days without communication, or changes to tone or tenor are just them being human or being busy, and they have nothing to do with us and our companies.

Read More