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Company Consolidation……Hitting….. New Momentum………..

May 10, 2018

By Sid Chadwick

“Any fool can make things bigger… more complex….and more violent…. It takes a touch of genius --- and a lot of courage --- to move in the opposite direction.”……………….Albert Einstein

INTRODUCTION:

The drumbeat………goes on……..owners aging-out…..no succession plan… in place…….equity evaporating………...

Mergers AcquisitionsIn the last month, we’ve started “Research Projects” for three organizations, that want to know, “Who might be available, who is close-by…..that might be interested in a……’Merger’….?”

For each of the three Commercial Print Organizations, our initial inquiry showed…..well over 200 similar organizations…. within 20 miles…..with “revenue ranges”--- each client was interested in acquiring……...and each….with the correct “NAICS” (North American Industrial Classification System) designations.

We double-checked the original numbers --- within those 20 miles…. but then took the radius of our review ---- from 20 miles…up to 35 miles. That number of 200+ --- then approximately……doubled….!

All three client presidents were startled --- at how large those numbers were.  

Most folks in our experience don’t realize how utterly rich and complex, and intense --- the American economy……is.

When asked, “What information can you “cost-effectively” develop…. on those 200+…(or approx. 400)…..organizations…?”, we profiled:     

  • Name, location, and Website address --- for each organization.
  • Contact information --- of senior management (email address, and title).
  • List of equipment.
  • Potentially important, informative pages on company Website.
  • Public record of revenues, and number of employees.
  • Recently published articles --- that mention the organization.
  • Brief description of each company, including when started.

Looking back on those discussions, we probably “Way Underpriced the Value” --- of those “Research Request Projects”.

One client gave us the directive….“I’d like to have my report…. by July 1st…. so I can take it with me on my family vacation.”

SUMMARY:

The odds are significantly in your favor…. that there are several organizations within 10 -15 miles of your plant….whose owners would like someone they would trust --- to --- “take over”.

Pricing for your company’s revenues…..seems to be greatly influenced by market forces.

However….increasing your revenues in a significant manner….could be far easier….. and more available……than you would ever previously….have guessed.

Chadwick Consulting provides clients with “options” for improved performance….they didn’t know were available…through education and training, research, consulting, and publishing.

One of my most admired client CEO’s, working at his company for well over 50 years…… seems to personally demonstrate…..through relentless determination --- that his ongoing success is at least partly the result of his deep understanding ….that…..

“The two most powerful warriors….are patience….and ….time”….Leo Tolstoy 

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