Hawaii Business Sales has a strategic relationship with Corporate Development Capital (“CDC”) an investment bank, broker/dealer. CDC offeres a comprehensive set of investment banking services to its clients, including the following of specific benefit to HBS's Hawaii clients:
CDC’s Managing Directors’ years of experience in capitalizations of all kinds, including sourcing capital from both private and public sources, combined with their actual ownership and management experience will assure their clients that all possible avenues are explored before starting the search for new or additional funding. New capital might take the form of either common or preferred equity, senior or subordinated debt or a number of other approaches. CDC and its representatives are fully registered with FINRA and is able to handle any financial transaction. Corporate Development Capital knows where the best sources of capital are, whether it be private equity, venture capital or traditional or non-traditional lenders. And, we know what the characteristics are for deals currently being completed in similar situations, so we can get the best results possible for our clients.
Recapitalizations
For many owners, selling the entire business is not the best exit strategy. A recapitalization the sale of a partial (minority or controlling) interest in the company can offer critical advantages. It injects fresh capital and management talent to help grow the business. It allows shareholders to "take chips off the table", preserve financial upside, reduce stress, and spend more time with family, traveling, and pursuing other personal interests.
Mergers & Acquisitions
They work with a client’s senior management to fully identify its acquisition program and then utilize its years of industry contacts and major databases to find the most desirable candidates. It will then complete a detailed due diligence process before starting the negotiation process. A high level of communication with our client and great attention to detail helps assure a successful completion of the mission. The process is the same whether the project takes the form of an acquisition or a merger.
Fold-ins
One of the best ways to create value is to merge with a competitor or other company in a closely related industry, or to "fold-in" part of a company (e.g., account list and select employees). CDC can help companies contemplating a merger or fold-in assess the potential benefits and risks, navigate these complex transactions, and overcome the substantial financial, organizational and negotiating challenges
Sale of All or Part of a Business By Way of a Securities Sale
They have a rigorous, systematic and all inclusive set of services to ensure that business owners receive maximum value in the sale of their businesses. In some cases the sale transaction must be a securities sale, that is, the assets per se are not sold, but the stock of the corporation is sold and in this case be be compliant with federal and state securities laws, the intermediary must by a licensed broker dealer, which CDC is.
They can find buyers worldwide including private equity groups, multinational corporations, immigrants seeking investor visas, or facilitate the sale to supplier, competitor, or a management team. They handle all aspects of the process, including valuation, market analysis, offering memoranda, target buyer identification and screening, sales and negotiations, deal structuring, due diligence management, closing process and integration assistance.
Management Buyouts
Many business owners seek to reward their employees' long service and loyalty by giving them the opportunity to buy their company. In many cases, unfortunately, a sale to a management and/ or employee team would be disastrous, as many such teams lack the financial resources, management and leadership skills, and risk taking characteristics required for successful business ownership. In select cases, employees can be ideal buyers, and may pay a premium for the company. Sale to these groups is fraught with risk and complexity. CDC helps clients assess the viability of this option, and if appropriate, structure and negotiate a win/win agreement.
Financial Assessment
We conduct a detailed review of a client's financial statements to pinpoint opportunities for cash flow improvement and strategic advice to increase valuation. We employ the industry leading financial analysis software, to provide insights into issues relating to liquidity, profit margins, sales, borrowing, labor and productivity, and assets.