A How-To Guide on Management Buyouts
The insider has opened up his reservoirs of knowledge and is revealing everything he knows about buying out a company.
If you are under the impression that only professional negotiators can successfully make deals and buy and sell companies, Rick Rickertsen wants to show you how to jump into the driver's seat of your company and propel yourself toward equity and success.
Rickertsen, a partner in a leading buyout firm, has put into writing the tactics and resources necessary to make a management buyout (MBO). His book, simply titled Buyout, discusses every phase of the MBO process - including business strategies, finding equity partners, and due diligence - and provides aspiring managers with the tools they need to make their dreams reality.
A Business of Risks
Buyout demonstrates that the MBO is a business of risks. Learning how to manage risks and knowing when to close or scrap a deal are processes that come from experience. When millions of dollars hang in the balance, that experience becomes more and more vital as the particulars of a deal become apparent. Rickertsen is able to explain how to prepare for the complicated, yet approachable, world of the MBO because he has spent 15 years honing his craft. If you want to avoid "deal hell," reading about the mistakes made by others is much easier than reliving their expensive difficulties when you seek to run your own company.
When it comes to investing money and meeting projected returns, the author knows his business. He has helped to put more than 50 MBO deals together and knows when the cards are in his favor. To show his readers what he looks for in a prospective deal, the author provides the financial models he uses when assessing an MBO, as well as the danger signs he watches for when numbers are discussed. His book provides the groundwork necessary to reveal the difference between a questionable deal and a worthwhile investment. By walking the reader through the MBO of a multi-million dollar company he calls Techway, the author demonstrates all of the amazingly detailed intricacies that can cause a deal to prosper or flounder.
From Technical Details to Toolkit
While providing dozens of best and worst case scenarios, Rickertsen's colorful personality shines through, balancing the financial jargon and technical details with a human perspective. After the facts and figures have been thoroughly highlighted, he sets up a resource guide for those looking to put his lessons into practical use. "The Buyout Toolkit" in the last half of his book overflows with the numerous documents necessary to bring an MBO to fruition, as well as a directory of private equity investment firms who finance these things. Now that the resources have arrived, and Rickertsen has given you the courage to make your move, the next step is yours.