EP 012: Questions You Should Ask the PE Firm During Management Presentations
Tammie Miller and Tim Oleszczuk, your hosts, welcome you to another episode of the Deal Team Six podcast. Today they talk about management presentations, those situations when you are starting to bring back prospective buyers, and they are getting to the next layer of a sale process. This is an excellent opportunity for them to listen to specific aspects of the company. During management presentations, the sellers get to know the potential buyers, which is a great time to ask questions.
Episode Transcription
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[2:09] First Question – How often do you visit your portfolio companies?
[9:03] Second Question – How big is your fund? Where are you in its life cycle?
[13:22] Third Question – What are some things that a private equity group might offer to a portfolio company other than cash?
[16:48] Fourth Question – Are acquisitions part of the growth strategy?
[21:02] Fifth Question – Can I call the current or former CEOs of your other portfolio companies?
[22:58] Sixth Question – How do you typically finance your transactions?
[24:21] Seventh Question – Which tools do you have to compensate managers?
[26:15] Last Question – Do you charge a management fee?
Key Takeaways
- The management presentation is an excellent time for a seller to get to know buyers.
- It’s an opportunity to begin to understand their differences beyond purchase price and deal structure.
Additional Related Resources
Blog Post: Questions You Should Ask the PE Firm During Management Presentations
MEET YOUR HOSTS
Tammie Miller and Tim Oleszczuk started the Deal Team Six® Podcast because they saw that there was lack of representation for middle market businesses in the investment banking world. This podcast will include stories from previous transactions, M&A market information, and candid discussions around topics that are important to business owners contemplating a sale. Most of the topics are inspired by former clients and past transactions