How Related Diversification and M&A Drive Faster Business Growth
What is Related Diversification? Related diversification involves growing a business by entering new areas that have a connection to the existing business, often by leveraging current skills and capabilities like technology, product type, customers, or production skills. https://www.youtube.com/watch?v=Vgk_mogAOFU How Related Diversification is Distinction from other M&A Strategies Horizontal acquisitions involve buying competitors in the same […]
The Trifecta of Value: Cash Flow, Risk, and Growth
Nobody really needs it, but almost everybody knows E=MC²—Einstein’s formula for relativity. It’s a concept that sticks, even if most people don’t fully understand it. The same could be said about valuing companies. From Discounted Cash Flow (DCF) models to multiples-based approaches and asset valuations, countless methods claim to crack the code for determining value. […]
Angels & Advisors
Recent discussions with German M&A firms show that the number of SME deals have significantly dropped in the last few months. A survey in May showed that 85% got stalled or stopped. Partially because business plans have turned havoc with Corona, partially because price expectations have diverged. Any other reason also works for an explanation. […]