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Financial and Human Capital for Lower Middle Market Companies
BoldPointe Partners
M&A Advice for Sellers and Buyers of Middle Market Companies
WHY WE PREFER "BUY & BUILD" BUYER CLIENTS FOR SELLERS
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Understand & Expand the Seller's Legacy
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Possess Acquisition Integration expertise
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Buy Platform Investments to Build On
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Develop Economies of Scale
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Concentrate On Revenue Growth
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Access to Growth Capital
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Maintain Conservative Leverage Ratios
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Validate Comparable Comany Valuations
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Explain Their Exit Strategy to The Seller
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Provide Seller With Their Business Plan
A "Buy and Build" Strategy Typically Provides Higher Risk Adjusted Returns for Buyers and Sellers Rolling Over Some Equity
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Investments in "fragmented" industries offer faster growth opportunities
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Platform investment acquired at higher EBITDA multiple
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Bolt-Ons are purchased at lower EBITDA multiples = higher returns
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Bolt-On purchases offer product and geographic diversification
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Buy and Build reduces the need for competitive auctions--price range is set
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