Midwest Financial - M&A is a middle market investment banking firm that assists PE firms, Family Offices, and investors with the acquisition of new portfolio or bolt-on investments and the sale of portfolio companies.
We provide confidential transaction services for private equity, family offices, and investors.
Investment Opportunity Origination
We work with private equity firms, family offices, and private investors to expand their portfolio of companies through add-on acquisitions or acquiring new platform businesses.
We have a nation wide network and established relationships that allow us to find investment opportunities in a wide variety of industries. Our search process will identify investment opportunities that align with your investment criteria, goals, and objectives. We also have access to many industry data bases.
When we recommend a company as a potential acquisition opportunity to a private equity firm, family office, etc., it is because we know the company is a solid qualified investment opportunity.
Sourcing Investment Opportunities
Our higher level of the middle market focus provides us proprietary access to many businesses who have not engaged an intermediary and allows the private equity firm and family office to acquire through non-auction acquisitions. We have extensive relationships with major banks, consulting firms, accounting firms, investment banking firms, and other groups who provide us access to high quality investment opportunities for private equity firms and family offices.
We have developed a middle-market buy-side deal sourcing process that identifies high quality firms who are good investment opportunities for private equity firms. Our deal flow from various sources creates qualified options.
We have an excellent understanding of how to work with a business owner and an entrepreneur’s long-term objectives.
Selling Portfolio Companies
We work with private equity firms, family offices, and private investors to help with the successful sale of portfolio company holdings.
We have established relationships with private equity firms, family offices, and many strategic buyers in most industries. We can assist the successful sale of a portfolio company at a premium price to a premium buyer. We understand the need for these exits to achieve a target internal rate of return over the hold period.
Business Valuations Approaches and Methods
Making the decision to buy or sell a business requires a valuation estimate. We have qualified valuation professionals with many years of experience, skilled in valuation analysis for complex situations in a wide variety of business valuation assignments. We understand the importance of the valuation services we provide to attorneys, bankers, business owners, institutional investors, and regulators. We know that a valuation analysis is part of the bigger picture, with a great deal at stake. Our firm has been retained to provide valuation opinions for many purposes.
Income Based Approach
The income approach determines the fair market value of a business by measuring the value of a company’s future cash flows.
It is derived by multiplying cash flow of a company by an appropriate discount rate or cost of capital.
Discounted Cash Flow method –known as DCF.It is widely used by valuation and investment banking professionals.
The two primary market approaches are the Public Comparables and the Precedent Transactions.
Public Comparables method uses comparable publicly held corporations to determine value.
Precedent Transactions provide insight into the value of a business or parts of a business from actual sale transactions in the market.
Asset Based Approach
The asset based approach uses valuation methods based on the value of the assets, net of liabilities.
This approach provides an analysis of the economic worth of a company’s tangible and intangible, recorded and unrecorded assets in excess of its outstanding liabilities.
It can be effective in quantifying value of an entity's tangible assets.