A reference in:

Interim Management

A REFERENCE:

IN ICT RECRUITMENT

A reference in:

Executive Search

Management Phase: the “Post-acquisition hangover cure”

You know the discounted cash flow valuation. Have you evaluated the financial cost of losing 6 to 12 month growth in the companies you acquire? If you are 10 or 20% below objectives the first year, you can lose between 20 and 50% of your exit price.

 

Sounds familiar?

 

Usual facts :

When a VC acquires a company, it happens most often than not that both parties (buyer and seller) experience a “post acquisition hangover”. Even if the seller remains a shareholder.

 

What does this mean?

 

THIS IS AVOIDABLE

 

Objectives of the cure

 

How it works

Services that Arrowstone can provide

 

1 – Executive Search or Interim Management:

 

From the start, it is clear the General Manager wants to quit at short/medium notice, or must be replaced. Or major top management & business development management functions must be filled in.

 

Arrowstone will prove a competitive business partner to help find qualified and over-performing managers, interim or permanent.

 

This manager will have an in-depth knowledge of the sector; will be an experienced general manager with real familiarity with SME or family-owned businesses, and also experience of the expectations and working of private equity. A real hands-on man with a strong strategic ability.

 

Arrowstone will provide effective “shadow management” and technical support to optimize success

 

 

2 – Coaching of the post-acquisition transition phase:

 

Top management is efficient and motivated to continue the project. This is an assumption that must prove right in the facts.

 

The acquisition is also often the result of the feeling of the seller having reached some of his limits, in management, sales, finance or other areas. But a feeling is not always conscious, and consciousness is not always acceptance…

 

Arrowstone therefore proposes to put in place a “coach” from day one.

 

The idea is to have an experienced coach with manager experience acting as “challenging partner” and “liaison officer”.

 

His involvement can be full-time or part-time.

 

 

3 -Providing quality Board Members :

 

Building a quality Board, Statutory or Advisory, is key to orient and support the Executive Management. Arrowstone has a broad expertise in providing the portfolio company with Non Executive Board Members with strong market experience, strategic insight and international contacts.

 

 

4 – Assesment of the Management Team

 

Arrowstone proposes also Assessments of the Management Team, based on state-of-the-art methods who assess the actual management level, the potential of the managers and the team dynamics.