As part of its mission to drive growth and innovation, RLC is continuously developing a strong business and industry network to help start-ups achieve their full potential. At RLC, we seek to provide startups with a comprehensive solution consisting of value creation service and long-term capital, which aligns with our value as a true entrepreneurs’ lifetime partner.
Realizing the need for capital is simply the first step. Determining the right capital structure to best allow your company to achieve its goals is often much more difficult. Our Professional Advisors will guide your team through each step of raising the right combination of debt and equity that is right for you.
Letters of credit
Establishing a value for a private company is not only important for buying or selling a business, valuations are also used for numerous other purposes, such as:
Capital gains tax calculations
Family law matters such as fair distribution of assets in a divorce
Mergers, acquisitions, and divestitures
Going public/going private transactions
Conducting M&A is often a difficult and complicated process. Finding the perfect company to take your operation to the next level is a detailed task that requires a strong understanding of finance, management, and the industry. Let our Professional Advisors help you identify that perfect fit and guide you to a successful partnership, whether that be through a merger or acquisition.
Research on the industry and the potential merging companies.
Operational and risk assessment of the merger.
Quantify realistic synergies and cost savings between the companies to ensure the merger makes sense.
Conducting proper due diligence.
Valuation of the two entities so that current shareholders receive proper values for their shares.
Obtaining shareholder (and in some cases regulatory) approvals.
Development of the communication, change management and implementation plans.
Loss of Key Staff: While rationalizing operations and reducing costs (which often includes reducing staff) may be a goal, sometimes key staff can feel that they are no longer part of the long-term plans of the organization, or are simply poached by competing companies. A retention plan is essential for companies to ensure they have the right staff for the future.
Underperformance: Acquiring another company can often cause discomfort with employees, uneasiness with customers, and can result in staff losing focus on their core businesses. A strong change management plan can ensure staff will keep focused on their growth strategies.
Synergies Not Realized: Overly-aggressive estimates of cost savings and unrealistic growth plans can result in unrealistic expectations, especially in the early years post-acquisition.
Complete review of company or division operations.
Review of company or division stand-alone financials.
Corporate clean-up and/or restructuring.
Putting together due diligence package.
Confidentially seeking potential acquirers.
Negotiating terms of the sale including price, company or asset parameters, closing date, personnel issues, communication, indemnification, etc.
Having a strong and comprehensive business plan is an invaluable tool for any company. Comprehensive business plans are an essential part of raising debt from banks and credit unions, attracting private equity investors, and identifying risks that could threaten the success of your company.