We prefer to have a phone conversation with the owner to make sure we understand the nuances of what they are seeking.
We would then verify financials at a high-level (tax-return, etc) to ensure all parties are in agreement as do the "Adjusted EBITDA".
We will then submit a non-binding Discussion Letter which will delineate ARC's proposed valuation, structure and other items critical to the transaction. Let's not waste time if we aren't even close.
At this point, we would ensure the Seller and his representatives are comfortable with ARC's ability to financially close the transaction. If we are seeking outside partners such as a bank or mezzanine lender, we will ensure we have our partners lined up to effectuate the transaction as presented.
All diligence efforts are headed by ARC's President, Ernie Cutter, who has 25 years experience operating small businesses. This is NOT the Exxon / Mobil acquisition. Not everything will be perfectly packaged. We get it. We know how to get through diligence quickly.
Post-closing, we seek to make NO changes to existing organization.
We seek to "keep the same people doing the same things for the same customers".
One of our first acquisitions was Haz~Mat, that had 28 employees at the time we acquired it in 2005. Currently, we still employee 22 of the original 28 employees.