A Management Buy-Out (MBO)

You think you would prefer to own the business that you run and have briefly researched “Management Buy-Out” on the internet.  You believe the owner(s) of the business wish(es) to sell and as a member of the incumbent management team, you have your own views on how to run and grow the company.

From your research, you will have discovered that the MBO process is both technically complex and time-consuming and all the information studied points to the early appointment of an “Adviser”.  A Buy-Out is very often a “once in a lifetime“ opportunity and it is important that the management team starts getting specialist advice in this area as early as possible.

Watersheds advise on MBOs and have the experience and expertise to deliver them.  Before talking to Watersheds, you will already have answers to the following questions:

• Does the company provide a good platform for future development?
• Can the MBO team replace the existing owners in their duties and roles, or do you need to add some skills?

After the first meeting with Watersheds, during which you will have talked through each stage of the MBO process, you will have a clearer understanding of:

• How feasible an MBO is financially and how much the business is potentially worth.
• How best to approach the owner(s).
• What it will cost and how the total outlay can be funded.
• What documentation is needed and how the legal process works.
• How the transaction is likely to be structured.

During an MBO Watersheds work with you at all stages of the process, from initial negotiations through to business planning, sourcing finance and finally the legal completion.

For a no obligation discussion on your potential MBO, please provide answers to the following questions: