Evaluating the attractiveness of a company is not an easy task. Reviewing a company's financial performance plan will give you information about that company's current financial position, but what if the external environment changes or a new competitor enters? Can they adapt to new customer preferences, enter new markets or innovate?
To truly assess the strength of a purchase, the buyer must have a deep understanding of the target company and the market in which it operates. This avoids price errors and future issues such as:
Entering segments with lower-than-expected growth potential due to overestimation of demand or market share forecasts
Growth stagnation caused by overestimation of growth levers and market movements
Understanding the lack of vision or integration leads to diminished benefits from deep channels
Choose the wrong target for the buyer's idea and expectations due to the inconsistency in the assessment.
After a thorough analysis of the proposal and the business involved, the medium-term goal of selling the company disappears.
Acquisition of companies with commercial potential that hinder or hinder growth and innovation ambitions due to undervaluation
What makes the joint venture different is combining our business and sales knowledge to try and compete with the investment thesis of economic thinking, and our good business knowledge to work for customers. It supports and supports decision making, raises awareness and answers questions that directly impact M&A success.
Depending on your goals and whether it's a merger or acquisition, incorporation offers a unique approach that typically performs some or all of the following tasks:
Gain market insights on targeting by interviewing players in the market ecosystem to not only collect data and trends, but also provide market reality replicas, growth drivers, risks and mitigations.
In case of acquisition: Assess the target company's ability to differentiate, innovate, grow and evolve and how this will affect the investment thesis and equity.
In case of merger: assess the business potential of the client and target company to determine and estimate the value of the merger and consolidation.
Analyze and predict joint venture success through external partnerships (e.g. distribution reach, channel penetration, customer relations) and internal (such as marketing and business operations, structure, team and execution).
Measure how long it takes to integrate and impact business, based on our experience in GTM design and implementation.
Build financial models that help predict future results, including all variables
The document outlines exit options and steps to achieve them, based on interviews with actors, benchmarks and data.
If our customers continue with mergers or acquisitions based on this business rigor, we can also support them in the post-merger period (PMI).
develop the best solutions for your customers and promote internal changes to implement them.
Increase sales and financial performance across all brands in portfolios.
Creating value for customers by setting the right goals and uncovering their needs.
Creating value for customers by setting the right goals and uncovering their needs.
Create detailed roadmaps that clearly define impact and outcomes to deliver and sustain the timeline.
Team up with technical skills, models and controls to solve strategic and operational problems.
This means that we will attend to the depth and depth needed when you need our support based on your goals, business strategy and concerns.
For example, if you have the goal of acquiring a company plan to create value for aftermarket or open capital, our goal will be the main point of analysis and enable growth levers and exit options. Conversely, if the goal of the process is to achieve close integration, a full integration test will be performed to ensure the integration goal is for growth and performance.
With this in mind, Integration projects often go like this:
Depending on the purpose of the publication and the level of knowledge available, for example:
Market expansion, growth opportunities and risk maps
Competence map
Synergies and anti-synergies
Financial simulation of commercial aspects
Exit strategy
Additionally, our expertise in go-to-market design and implementation and PMI allows our team to accurately assess growth projections and potential, and to clearly map and forecast synergies and counter-synergies. This is always based on our previous work experience to determine the effectiveness of the application.
CHALLENGE
A private equity firm that decides to acquire an agro-industry distributor should take a closer look at the investment thesis to understand the company’s true growth goals. This offers both from an external perspective, where and how to expand, and from an internal perspective, understanding the potential of the company’s goals and compared to other players in the market.
APPROACH
To truly do due diligence, we worked with business experts to create a comprehensive plan. It takes into account the business and company’s limitations, such as dependency on other factors (supply and demand) and internal growth.
This rating is deepened by visiting the site and has the ability to rate goals using a combination of specific information and points. This provides a fair comparison of the ability and opportunity to create different value compared to many competitors in the same business.
RESULT
The private equity firm was able to strengthen and expand its research by developing an expansion plan to double sales of physical products based on analytics and internal importance.
CHALLENGE
A private equity firm has decided to seek a downstream buyer and needs outside support to test its acquisitions, identify growth opportunities, and understand the company’s unusual business goals in the area that has been committed so far.
APPROACH
On the path to growth, we developed a customer-focused approach by researching more than 300 suppliers, including more than 20 interviews with experts and business texts (including a lookup table). Regarding business models, the integration team also pushed the pay model to predict target return and franchises, with a deep understanding of other models; this causes the greatest impact on growth.
RESULT
Insights are not only about big business, growth, competition and services, but also about the rules and new technologies of all currencies. As a result, the private equity firm was able to validate its thesis and move forward with the acquisition. In less than 2 years, it grew 10-15% every month, rising to 6th place in the national franchise ranking.
CHALLENGE
One of the world leaders in employee benefits is in the midst of an acquisition that will require a post-merger process when completed. Therefore, a deep understanding of the integration and integration of companies should be planned, and new business models for integration should be defined to consolidate the strength of the two companies
APPROACH
Each company has a high-performance team), all their work with the same structure as the map. This method provides detailed information about joint and joint operations. It also clearly defines the main points for the joint venture (business model, co-management, differential payments and business price list).
RESULTS
Both companies were able to see the difficulty of joining forces while maintaining the confidentiality required during the due diligence process. Detailed business due diligence includes integrations of more than 100 suppliers and customers, as well as mergers, acquisitions and acquisitions that are important to the company’s business models and policies.
CHALLENGE
The two companies in the beauty industry are in the early stages of the merger process and want to understand the merger before doing due diligence. They use integration to become a clean team (i.e. a dedicated team in a company), reviewing each of their tricks to identify shared information (they are good at sales, distribution, production, innovation, and production). This clean team approach is important for protecting each other’s knowledge and avoiding conflicts.
APPROACH
This in-depth market analysis is dedicated to identifying the best combination of products in 15 categories with different price ranges, all with more than 6 sales. These integrations are evaluated in terms of process innovation, product and raw material production, purchasing, production, inventory, sales, POS activation and consumer goods (business). In addition to using desk research, data analysis and first-hand knowledge of the two companies, the integration interviewed more than 40 unique vendors and analyzed 5 models that combined the differences to determine whether one would work well for the two companies involved.
RESULT
Determining that 35% of the turnover in the category was destroyed, the two companies decided not to continue the partnership. This is reinforced as the project has also decided that the results of the collaboration will only apply to one of the companies, regardless of the model chosen.
The partnership enjoys working with private equity and investment firms, venture capital and corporate M&A managers in a wide range of target markets. Some examples of these experiences include joint ventures, swaps, M&A target scans, competitive acquisitions, commercialization of acquisition plans, and more.
This study also covers many different sectors, from commodities (such as food and beverage) to business and finance. In addition, based on our experience in many areas, it is adjusted according to the needs of the region. The integration relies on a global database of experts to add knowledge and expertise to develop one of our solutions.
Dhruv Patel is an engagement manager at BMCS and has been working since 2019 in the Argentinean office in the Supply Chain Practice.
Aarush Gandhi is a Manager at BMCS with significant experience in Supply Chain and Implementation having worked across both of BMCS practices.
Nikhil Singh is a Director at BMCS and has been working since July 2011 in the practice of Marketing & Sales. Prior to BMCS, Jonathan was an Analyst
Keshav is a Manager in the Marketing & Sales practice. Originally from Columbia, Luis is an entrepreneur at heart, and has worked in several start-ups in Colombia, receiving his MBA
Chaitanya Varma is a Financial Controller at BMCS and has been part of the Finance area since January 2011. Her experience includes financial analysis.
Rishi Sinha is a Specialist on Supply Chain Strategy at BMCS, working since 2010 at the firm. He has over 20 years of experience in Supply Chain collaborating with companies
Knish is a Managing Partner and has overseen the Mexico City office since 2008. Prior to BMCS, Gerard accumulated 25 years of experience in executive positions at L’Oréal
Rajbir is a senior manager I within the Implementation practice at BMCS, and has been part of the team since July 2011. His experience includes leading transformational projects.
