At Jacobs Capital, we define mergers & acquisitions broadly. It may mean the sale of your company to a corporate buyer or a private equity firm. It may mean recapitalizing your business to take significant money off the table yet retain control. It may mean establishing an employee stock ownership plan (ESOP). In every case, we make sure our clients fully understand their alternatives, and then we execute the option that best meets the owners’ objectives.
Our typical client has revenues from $10 million to $150 million and is privately owned. Jacobs Capital offers companies that are too small for major investment banks the same level of professionalism that they would receive from a Wall Street firm that only serves much larger companies.
Why We are Different
Jacobs Capital is an industry generalist that exclusively serves sellers. This avoids the conflicts of interest that virtually all of our competitors face. Industry specialists, who work with the same buyers time after time, develop closer relationships with the buyers than their clients. For two examples from the Wall Street Journal illustrating this point, click the following links: Court Has Lump of Coal for Investment Banks and A Fateful Mistake Haunts Goldman Sachs. Firms that represent both buyers and sellers are handicapped in negotiating the best deal for their client. Jacobs Capital has an uncompromised commitment to serve business owners in the most important transaction of their life.
Jacobs Capital begins our projects by assuring that our clients have realistic expectations about the value of their business. We then seek to understand all of the owner’s agenda, not just the economics but strategic, personal and family factors that are important to the business owner.
We educate our clients on all of the liquidity strategies that might be viable for their situation including a sale to a strategic buyer, private equity firm, a partial sale, recapitalization, or ESOP. Once we have determined the solution that best matches our clients’ needs, we execute the transaction with a full team of experienced professionals.
We often work with business owners for many years before suggesting they seek liquidity. We are not just looking to get a deal done. We are looking to get the right deal done, and we have the patience to wait until the timing and price are right for our client.
Jacobs Capital provides the most professional business valuation service in the country for the price. Unlike CPA firms and traditional business valuation firms, we are actively engaged in the M&A market on a daily basis, giving us first-hand knowledge of market conditions and what drives value in private businesses. Jacobs Capital has produced hundreds of business valuations for companies with revenues ranging from $100,000 to $400 million across virtually all industries.
Jacobs Capital valuation reports meet the criteria established by the Uniform Standards of Professional Appraisal Practice (USPAP) promulgated by the Appraisal Foundation as well as the guidelines established by the Internal Revenue Service in Rev. 59-60. Our valuation reports differ from most in that they are written with the business owner as the intended audience, with clear and practical explanations of our opinion of value and the key factors that drive value.