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NavatarWebinar:
Six Fallacies of Proprietary
Deal Sourcing
Navatar is the #1 global cloud software provider to the private capital
community, including private equity firms, asset management firms
and strategic buyers worldwide.
• 600+ customers in 35+ countries
• 100% SaaS - Built on Salesforce & Box clouds
• US, Europe and Asia offices
• Founded in 2004
#1 PRIVATE MARKETS PLATFORM
Exit Strategies is a buy side deal origination firm that:
• Focuses on the middle market
• Represents a diverse spectrum of investors & capitalization methods
• Employs proprietary tools and process to create profitable deals not just introductions
• Focus’ on the distinct psychological nuances of originating proprietary deal
About Exit Strategies
SPEAKERS
Jordan Wagner Ketan Khandkar
Co-Founder
Ed Harms
Director of Sales Chief Operating Officer
Q: From first contact to close, a proprietary deal takes on average…
A 3 to 12 months
18 to 21 monthsB
24 to 30 monthsC
36 months or moreD
58%
31%
10%
1%
Q: What is the single biggest advantage of pursuing proprietary deals?
A Better valuations
More favorable termsB
Sufficient time to meet ownership,
understand the business
C
Certainty of closeD
37%
22%
33%
8%
Q: What should GPs be most cautious about when pursuing proprietary deals?
A Wasted time and resources
Poor packaged informationB
Miscommunication or late changesC
Owners’ expectations of a high valuation
due to proactive interest
D
55%
21%
17%
8%
Q: What’s the best way to start a new relationship with a target company executive?
A
Write personalized emails to gauge
interest. Ultimately it’s a numbers game
Begin sharing marketing literature like
newsletters and deal announcements to
provide a sense of credibility and brand
Catch them at a trade show. In-person
introductions are always the most effective
C
There is no single best wayD
8%
8%
64%
19%
B
Q: What is the best way to move a deal quickly and efficiently?
A
Have a firm process/order (from NDA
to LOI) and try to follow it efficiently
Meet target company management as
soon as possible to ensure a mutual fit
Be flexible on what the owner prefersC
Make sure not to make an offer until
you are fairly certain you won’t need to
change deal terms
D
30%
43%
11%
17%
B
Q: What mentality should you enter a meeting with a target company exec?
A
Try to follow the owner’s lead.
Let things flow naturally
That of an educator. Explain your
investment thesis and strategy
B
Art of the deal! You need to
negotiate tough to get a fair price
C
Solicit key data points so you can make an
early decision on where to spend time
D
31%
15%
49%
5%

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Six Fallacies of Proprietary Deal Sourcing

  • 1. NavatarWebinar: Six Fallacies of Proprietary Deal Sourcing
  • 2. Navatar is the #1 global cloud software provider to the private capital community, including private equity firms, asset management firms and strategic buyers worldwide. • 600+ customers in 35+ countries • 100% SaaS - Built on Salesforce & Box clouds • US, Europe and Asia offices • Founded in 2004 #1 PRIVATE MARKETS PLATFORM
  • 3. Exit Strategies is a buy side deal origination firm that: • Focuses on the middle market • Represents a diverse spectrum of investors & capitalization methods • Employs proprietary tools and process to create profitable deals not just introductions • Focus’ on the distinct psychological nuances of originating proprietary deal About Exit Strategies
  • 4. SPEAKERS Jordan Wagner Ketan Khandkar Co-Founder Ed Harms Director of Sales Chief Operating Officer
  • 5. Q: From first contact to close, a proprietary deal takes on average… A 3 to 12 months 18 to 21 monthsB 24 to 30 monthsC 36 months or moreD 58% 31% 10% 1%
  • 6. Q: What is the single biggest advantage of pursuing proprietary deals? A Better valuations More favorable termsB Sufficient time to meet ownership, understand the business C Certainty of closeD 37% 22% 33% 8%
  • 7. Q: What should GPs be most cautious about when pursuing proprietary deals? A Wasted time and resources Poor packaged informationB Miscommunication or late changesC Owners’ expectations of a high valuation due to proactive interest D 55% 21% 17% 8%
  • 8. Q: What’s the best way to start a new relationship with a target company executive? A Write personalized emails to gauge interest. Ultimately it’s a numbers game Begin sharing marketing literature like newsletters and deal announcements to provide a sense of credibility and brand Catch them at a trade show. In-person introductions are always the most effective C There is no single best wayD 8% 8% 64% 19% B
  • 9. Q: What is the best way to move a deal quickly and efficiently? A Have a firm process/order (from NDA to LOI) and try to follow it efficiently Meet target company management as soon as possible to ensure a mutual fit Be flexible on what the owner prefersC Make sure not to make an offer until you are fairly certain you won’t need to change deal terms D 30% 43% 11% 17% B
  • 10. Q: What mentality should you enter a meeting with a target company exec? A Try to follow the owner’s lead. Let things flow naturally That of an educator. Explain your investment thesis and strategy B Art of the deal! You need to negotiate tough to get a fair price C Solicit key data points so you can make an early decision on where to spend time D 31% 15% 49% 5%

Editor's Notes

  1. Our firm focuses solely on origination We try to be a new type of resource for business owners Many owners do not like the process and haven’t found a solution but need an exit Mark went through this Represent many PE Psychology