M&A Advisor recently announced PCE Investment Bankers has been named a finalist in two transaction categories for this year’s Annual M&A Advisor Awards.  LAI International’s acquisition of Zak Incorporated was nominated in the categories of Industrial Manufacturing and Distribution Deal of the Year (from $10MM to $100MM) and Corporate and Strategic Acquisition of the Year (from $10MM to $25MM). PCE served as the exclusive financial advisor to Zak Incorporated.

Daily, the sale or merger of a company involved in a service industry grabs the headlines.  Whether a service provider to the healthcare, insurance or other industry, it feels like all companies and industries are in “play”.  The announcements of these sales or mergers are normally accompanied with assurances from management that the ownership change will not adversely affect employees or the level of service to customers.  Regardless how strong the promise, the fear associated with change is unsettling for many.  So while the pace of mergers and acquisitions (M&A) continues to increase, business owners in all industries must continue to keep a watchful eye and consider all options for succession of ownership, both external and internal.  One interesting option, which we’ll discuss further, may be the sale to an Employee Stock Ownership Plan (ESOP).

As valuation experts, we are also called upon to be advisors.  We could simply perform a valuation using the standard of value dictated by the client or attorney; that would certainly fulfill our role as an expert.  However, in most cases, our clients are better served when we act as advisors as well.

PCE Investment Bankers is pleased to announce we have been named the 2015 Best in Building Products & Construction M&A by Acquisition International.

As a continuation of PCE’s series of quarterly M&A industry reports, below you’ll find an in-depth analysis of trends in the M&A marketplace that impact your business. These reports provide industry trends, sub-sector performance as well as deliver insight into tendencies of the public companies that operate in your world. The table below breaks down the ten industries which have been provided for 2Q15 as well as their detailed sub-sectors.  Click the links below to view the individual reports.

An Employee Stock Ownership Plan (ESOP) is a company sponsored, employee benefit plan that is analogous to a profit sharing plan.  For privately held business owners, ESOPs can be a liquidity strategy that offers numerous benefits to the owner, business and its employees.  These plans are usually leveraged (using debt to acquire the stock), and the capital borrowed can be different than debt incurred in normal course of business.

PCE Advisors, Will Stewart, David Jasmund and Eric Zaleski will attend this year’s ESOP Association Conference in Las Vegas.  This is one of the largest ESOP conferences in the world with over 60 sessions and more than 150 speakers.

“The biggest human temptation is…to settle for too little.” – Thomas Merton

Be wary of valuation calculators on the websites of many business valuation and M&A advisory firms.  These calculators allow business owners to enter basic financial data and quickly retrieve the “value” of their businesses.  Many of these products describe the final result as a “business valuation”.  While it may be appealing for owners to receive a free, quick and easy valuation, the results should not be relied upon.  Remember, you get what you pay for.

Attendance at this year’s WINDPOWER conference was down, but the mood did not match. Below are some takeaways from the conference.