Owners of a tax technology consulting firm felt that industry consolidation and market conditions made it an optimal time to sell…but how would buyers value its niche services and Fortune 500 clientele and which potential buyers stood to gain the most from the transaction? Pursant had a process for getting answers to these questions.
The owners of a mid-sized technology consulting practice focused on automating indirect tax business processes determined that it was time to sell the business. The industry was consolidating, there were seller favorable market conditions and professional aspirations had shifted for some of the owners. They chose Pursant as their sole sell-side Merger & Acquisition Advisor for the sale process.
Pursant worked with this client to explore strategic and financial alternatives related to a potential sale, informed by a thorough Deep Dive process on the company. Key considerations included the acquirer’s objectives, timing of sale, and the degree to which owners would be expected to involved in the business post-sale. After establishing a transaction strategy, Pursant honed in on an ideal acquirer profile: a larger company with a broader but related offering that would be enhanced by the consultancy’s highly specialized services.
Expert storytellers, Pursant first helped package the opportunity to acquire the tax technology consultancy to appeal to buyers, emphasizing potential financial and strategic returns. Pursant then leveraged its network, proprietary databases and an uncanny sixth sense to track down interested buyers in even the most niche markets. After confidentially approaching potential acquirers to gauge interest and qualify them, Pursant secured indications of valuation and interest, led transaction negotiations and conducted due diligence, ultimately helping to close a deal. The client was acquired by an award-winning global tax services firm with the sixth largest corporate tax practice in the United States. Owners were overjoyed to put the care of longtime clients into the hands of this capable firm.