As companies grow and evolve, they will likely have increasing needs for addressing capital structure, financing arrangements, manageement infrastructure and operational issues. Often, existing management has not dealt with these kinds of issues, and, more importantly, it does not have the time or resources to address them.
JAK’s experienced professionals are adept at independently reviewing and evaluating a company’s situation in order to identify alternative approaches for management to consider in the context of the company’s goals.
JAK’s financial advisory services are tailored to a client’s specific needs. The firm’s extensive experience includes:
- Financial analyses to assist management in identifying and validating assumptions and testing profitability impact
- Evaluation reports based on interviews with management and key personnel
- Attendance and participation at Board Meetings to provide an independent perspective
- Advice for companies in distressed situations and evaluation of strategic alternatives to address these situations.
JAK has extensive experience in the capital markets and has developed relationships with numerous private equity firms, venture capital sources and retail - based investment banking firms. JAK utilizes these relationships to provide its clients with access to funding sources.
Many businesses may find the sale of equity or corporate debt to a limited group of investors an attractive to the public markets. Compared with a public offering, private placements can be accomplished more expoditiously and at a lower cost.
JAK assists clients in evaluating capital structures and in identifying sources of private financing to facilitate intended acquisitions and growth. The firm’s capital markets experience and its established relationships with an extensive network of contacts, including individuals, private equity and later – stage venture capital sources, provide valuable tools in consummating a financing.
JAK assists clients in obtaining secured and unsecured debt financings. Debt financing, where appropriate, can often provide short – term solutions in managing business growth. It is also possible that a client may seek to combine debt and equity sources in the same financing. The firm has an extensive network of lenders to assist clients with short – term and long – term debt financing needs. This network includes mezzanine and other debt funds, debtor – in – possessions financers, small and large lending institutions and commercial banks.
JAK provides guidance to its clients in connection with the timing of a potential initial public offering (IPO) and the necessary preparation if an IPO is contemplated. In addtion, JAK serves as an intermediary between its client and the underwriters and professionals to ensure that the process is handled efficiently from a timing and cost persperctive.
At one time or another, a company may find itself facing some particularly tough challenges – perhaps the need to sell operations or assets, to recapitalize or to seek bankruptcy protection.
JAK represents both debtors and creditor groups in both in – and out-of-court restructurings. The firm’s professionals assess the particular situation, identify objectives and provide the strategic guidance necessary to achieve a desired outcome. Based on this assessment, JAK may:
- Conduct a formal evaluation and analysis of a particular business strategy in the context of the client’s market, competition and other related economic factors
- Perform selected analyses to assess the financial viability od a particular strategy
- Investigate strategic alternatives to assist a company in returning to profitability or to salvage valuable assets
- Play a very active role in the sale or purchase of businesse’s divisions, subsidiaries or assets. In the course of selling a business operation, the firm will often lead the auction process.
- Negotiate with third parties on behalf of the client, and work with the client’s professionals to assist in closing transactions
- In addition, JAK may represent the stalking – horse bidder or subsequent bidders.
JAK’s professionals are uniquely qualified to determine the value of private companies, closely-held business interests, limited partnership interests, intellectual property and other intangible assets, and corporate securities with marketability concerns.
Generally, anytime the value of a business or business interest is in question, our valuation experts can help. Broadly categorized, valuations can be provided in the following situations:
Transactions – JAK’s valuation experts have extensive experience where the value of a business interest becomes a matter of concern:
- Sale or purchase transactions
- Marital dissolution settings
- Claimed loss of value litigation
- Internal transfer of assets or divisions
- Royalty rate studies
A merger, an acquisition, or the sale of all or part of a business can be a key factor in enhancing a company’s success and in advancing its corporate and / or shareholder objectives.
After reviewing a merger or acquisition client’s individual situation and specific needs, JAK may perform a variety of merger and acquisition services, including:
- Valuation of both public and private companies
- Recommend the optimal transaction timing
- Prepare a comprehensive investment memorandum
- Negotiate term of purchase or sale agreement
- Negotiate employment agreements with key management
- Negotiate terms with various financing sources
JAK acts as a financial advisor and assists its clients with merger and acquisition services in various scenarios including:
- Development and implementation of acquisition strategies after gaining a thorough understanding of client objectives
- Sales of private and publicly held companies by marketing to both potential strategic and financial buyers
- Corporate divestiture programs to sell assets or subsidiaries that no longer fit with a core focus or long –term strategy
- Going – private transactions, especially to assist smaller public companies that may not be realizing the benefits of public company status
- Leveraged buyout opportunities where the company’s cash flow might support such a scenario
- Joint ventures as an alternative to an outright merger or acquisition