vcfo recently co-sponsored an event for clients and guests entitled “Elevator to Exit”, covering a company’s life cycle from a financial and capital perspective. The presentation, as well as a handout summarizing the company life cycle and actions needed, is available on the vcfo website.
A copy of the leave-behind can be found here.
The event was a success and gathered a strong showing from local Denver and Colorado Front Range CEOs, CFOs, attorneys and business advisors from a wide variety of businesses and industries. What we all shared was an interest in learning more about the many stages in the process of building and selling your business, including positioning your company to attract buyers with a compelling story of success. When this is done right, owners are rewarded by monetizing their hard work and optimizing their value creation, earning them an opportunity to move on to their next great challenge.
The theme for the evening was to explore the many facets of the company journey and to emphasize the value in engaging qualified financial advisors along the way. Integrating a team with deep experience and expertise in growing your business and managing business sales transactions improves your chances of reaching a successful closing act. Since most business owners will only sell their companies once, or maybe a few times, in their careers, it is vital to bring seasoned support to their team to facilitate, navigate and manage the complexities of putting a solid deal together.
While pursuing your company goals, it is wise to recognize the nexus of the three-legged stool created by your investment banker, financial advisory team and accounting firm. These three groups working in concert can be very useful in designing and presenting an efficient and effective financial picture. Every successful transaction is fortified by the solid foundation built collectively by your financial team to credibly elucidate your value proposition to buyers in a compelling manner.
The presentation was started off by David Hieb of the investment banking firm of Dailey Partners. David provided a detailed overview of many key financial junctures in a company life cycle. Topics highlighted ranged from capital life cycle, investor types and profiles, sources and related costs of capital for the full spectrum of angel investors, venture capital, private equity firms and various debt providers. Exit strategy discussions covered market timing, valuations, deal structuring, process, and creating a competitive landscape (multiple buyers at the same time).
Carter Freeman, Managing Director of vcfo, then took the stage to discuss the value of quality financial leadership in the areas of financial modeling, budget and forecasting projections, financial performance measurement, reviewing key accounting treatment, ensuring compliance with accounting guidelines, and timely financial reporting.
Wrapping up the event, Alison Dunnebecke, Tax Partner for Hein & Associates, presented on the role of the CPA firm covering the need and timing for audited financial statements and tax return filings, and the complex nature of transactional tax structuring to yield optimal results.
The crowd remained at full attendance throughout the program and networked for a while afterwards. Overall, the presentation was met with high marks for meaningful and informative content and knowledgeable and engaging presenters. It also seemed that most folks had dedicated their evenings to learning and enriching their business perspectives and were pleased to enjoy some collegial social time to wrap up the event.