Showing posts with label Business Finance. Show all posts
Showing posts with label Business Finance. Show all posts

Tuesday, 20 February 2018

ALCORs Growth Solutions for Business Helps Corporate Companies in the Areas of Investment Banking, M&A, Private Equity and Corporate Finance.

ALCOR provides a one-stop solution in Investment Banking with world-class corporations and companies as its clientele. ALCOR expertise spans the spectrum of finance - Mergers & Acquisitions, Equity Financing, Debt Financing, ECB, Financial restructuring, and investment banking advisory. ALCOR has footprints across the globe and an extensive presence in India with over 48 regional offices. ALCOR serves a wide cross-section of verticals, some of which are the following: Automotive, Power, Telecom, Electronics, Software, Real Estate, and Education.
True to its global stature as a leader, ALCOR's business philosophy is driven by highest levels of integrity and honesty at the heart of business. ALCOR obeys and complies with the rules of the land. ALCOR’s erudite Directors are from Harvard, Oxford and other prestigious institutions. The execution Team comprises of internationally reputed and highly experienced finance personnel.
ALCOR leverages its strong global footprint and the value of its international board of advisors to provide its clients with high growth transactions across the globe. We use our international deal-making experience to deliver customized advice to clients on each transaction. We assist clients in evaluating international and domestic Acquisitions and Joint Ventures. Global Fortune 500 companies work with ALCOR to assess suitable targets across the globe for market entry or market share expansion. ALCOR solutions include Mergers & Acquisitions, sell side, & buy side advisory, leveraged buyouts & other types of corporate restructuring. Standing aloft with over a 100 man-years in cross-border M&A advisory & independent research & experience, ALCOR, delivers maximum value from their transactions. ALCOR understands the clients' unique business needs, keeping their objectives a top priority. We work with our clients closely, often over five years, to help the client realize the value of their value creation strategy. ALCOR's wide range of product offerings are tailor-made to suit client growth requirements
ALCOR worldwide team allows for targeted search, scenario mapping, synergy realization, and detailed road map with experience-driven cross-border M&A advisory that can be customized with minority buy-in, acquisitions, or even a 50:50 joint venture.
ALCOR uses strategic tools such as the Balanced Scorecard with tailored precision to define the following -
  • Core defense
  • Global customer revenue model
  • Strategic high growth market entry.
  • 360-degree growth model
  • Intangible value proposition .Core foundation pillars
  • Evolved value chain integration.Low cost global value partnerships and several other strategies.
Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory,  Private Equity, Debt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.
For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.




Wednesday, 31 January 2018

M & A Advisor vs. Investment Banker vs. Business Broker: What’s the Difference?


M&A Advisors

M&A advisors and investment bankers are similar in their offerings, though there are certainly some differences. M&A advisors bridge the transaction market gap between the smaller businesses that are sold by business brokers. The larger transactions typically take on a more complex structure and the regulatory bodies require the servicing professionals to carry certain licenses. However, depending on the transaction structure, some lower middle market transactions do not require the advisor to be licensed under the securities laws. You will find that most M&A advisors are not licensed. This is very much a grey area and subject interpretation of certain foggy facts that will hopefully be addressed by the SEC and Congress in the months to come. If not carefully navigated this can create additional transaction risk to both the advisor and the transacting parties.


Investment Bankers

Investment bankers typically offer a broader range of services and work with larger companies; however, in the last 5 to 10 years it is more common to see investment banking firms servicing clients in the middle market. Investment banks provide several services that business brokers do not. Some of these services include: fairness opinions, public offerings, a much broader line of financial services, etc. These require formal licensing as a broker-dealer. Additionally, investment banks are usually staffed with various professionals that provide a wider range of experience, licenses, and other certifications. The depth of experience and wide array in skill set allows the bank to handle more complex transactions and provide these technical services.

Business Brokers

Business brokers typically serve smaller companies that will likely sell to an individual buyer (vs. a corporate or institutional buyer). The types of businesses they usually service are hair salons, franchises, gas stations, dry cleaners, convenience stores, small service businesses, single location restaurants, etc. The professional agreement terms that are used are very similar to selling a house. It is rare that a business broker will charge an upfront fee. However, it is very common that they will require that the preparation of marketing materials and historical and forecasted financials be all done by the business owner. If you are a buyer, you should know that most, if not all, the preparation is done by the seller. This creates a much bigger transaction risk for both the buyer and seller – it is more likely that the books will not be prepared in agreement with GAAP accounting standards and/or it is highly unlikely that they are audited financials. The typical transaction is the sale of the company’s assets using a template or standard legal forms. These forms often omit key sections that minimize post-transaction liabilities.


How Does the Term ‘M&A Advisor’ Compare to The Term ‘Business Broker’?

One of the primary distinctions between the popular use of the term ‘business broker’ compared to the term ‘M&A Advisor’ is the fact that business brokers are often licensed real estate brokers. In my experience, M&A Advisors almost never have real estate brokerage licenses. Many main street transactions include the property on which the business is based. The owners usually want to sell the business and the property together. If an M&A Advisor is involved in a transaction that includes a real estate component, they would usually separately engage a real estate agent to facilitate the real estate portion of the transaction – even if both are being sold to the same buyer

How M&A Advisors and Investment Bankers Are Similar?

Both Investment Bankers and M&A advisors run a proactive process to sell a company that is structured and usually focused on creating a competitive and timed market for the seller with the goal of optimizing the value and reaching the seller’s objectives. As mentioned before, the process a business broker takes is much more passive. The proactively managed process of M&A advisors and investment bankers tend to add a lot more value. Investment bankers and M&A advisors typically buy and sell companies to/for institutional companies, family offices, other mid to large size companies, private equity funds and occasionally the high wealth individual. The transactions at this size and stage of the market tend to be much more complex. The required level of sophistication, deal experience, and understanding in corporate finance is not found at the lower-end of the spectrum. It is often that these professional provide non-transactional value. In many cases, these groups have worked with companies in similar industries or comparable sizes. They have seen common challenges and growth strategies that work. A polished professional may enlighten management with operational changes that could improve the company prior to a sale.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory, Private Equity,  Debt Financing and International Business Development. These Services leverages insights,   relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.  
  

http://www.alcormna.com



Thursday, 4 January 2018

Corporate Finance


How Combining  deep financial expertise  helps  the CFO/CEO  maximize value.

The role and responsibilities of the CFO have evolved dramatically. Once limited to the finance function, the CFO is now, more than ever before, a strategic partner accountable for creating value across the entire business. We have the expertise to support CFOs as they transform the finance organization, shape portfolio strategies, undertake major investment and financing decisions, and communicate with investors.


The CFO challenge

Boards view CFOs as the most important corporate executive after the CEO. But in today's business environment, CFOs face new challenges. Corporate performance is increasingly tightly managed. Risks, including cyber issues, are growing. People within the business have higher expectations, especially when it comes to data and advanced analytics and the impact on value creation from disruptive business models. And it can be a struggle to deliver the best service in finance at minimum cost.
Our deep understanding of the finance function and expertise in specific industries uniquely positions us to support the CFO .
CFOs play a crucial role in aligning stakeholders so everyone sees value creation through the same lens. As the CFO is also at the helm of value-creation efforts company-wide, he or she can use the finance function to test new ideas and set best practices.

We support our clients in several areas:
:: Investment Banking  ::  Corporate Finance  :: Mergers and Acquisition Advisory
::  Joint Venture Advisory  ::  Private Equity  ::  Debt Financing

Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory,  Private Equity, Debt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.


Wednesday, 20 December 2017

Fundraising for Women-Run Venture Capital Funds Accelerates



Despite remaining underrepresented in the industry, women-owned funds are securing more capital and making more deals in 2017

Women make up an average of 21% of staff at venture capital funds. This proportion falls to 11% of senior staff, and just 6% of board members at venture capital firms. However, women-owned* venture capital vehicles have seen fundraising reach new heights in 2017 YTD, as 13 funds have secured $2.4bn as of September. This is up from the $1.8bn raised by 25 women-owned funds in all of 2016, and follows a consistent trend of growing activity over the past five years. Looking ahead, there are 58 further women-owned funds in market, seeking a combined $6bn from
investors – 4% of total capital sought by the industry. Women-owned funds are also increasingly active deal makers, being involved with 510 financings in 2017 so far, worth a total of $6.4bn. The largest proportions of these were in software and internet companies, mirroring overall industry trends.


Key Women in Venture Capital Facts:

• Women make up an average of 21% of venture capital employees. At a senior level, women constitute 11% of staff, and occupy 6% of venture capital board seats.

• Women-owned venture capital funds have seen a sustained upswing in annual fundraising. Twelve women-owned funds raised $0.8bn in 2013. As of October 2017, though, 13 women-owned vehicles have secured $2.4bn.

• There are 58 women-owned venture capital funds in market, seeking a combined $6bn. The largest of these is Baidu Capital, which is targeting $2.95bn.

• In the first three quarters of 2017, women-owned funds have been involved with 510 deals, worth a total of $6.4bn. Of these, 25% were for software companies, and 22% were for internet firms.

• On a partner level, female partners have led 307 deals in 2017 so far, worth a combined $5.1bn. This is a record for both the number and value of women-led deals, and accounts for 9% of total deal activity this year.

• Funds of funds are the most active investors in women-owned funds, providing 29% of funding since 2000. Public pension funds (22%) and foundations (13%) are also significant backers.

• Almost three-quarters (74%) of funding for women-owned venture capital funds comes from North America-based investors. European and Asian investors account for 20% and 5% of commitments, respectively


The venture capital industry is undergoing a storm of controversy over the representation and treatment of women both as founders and as venture capitalists. Initiatives to promote gender equality in the industry have included high profile decency pledges and women-focused mentorship and empowerment programs. Women only represent one in five staff at venture capital firms, and one in ten senior staff, highlighting the uncommon nature of these programs, and the structural and long-term challenges they face. However, we may feel encouraged by the fact that women-owned venture capital funds have steadily become more common and more active, raising more money in the first three quarters of 2017 than ever before as well as being involved in over 500 financing rounds. At the same time, female partners at firms have already marked a record year for both the number of deals they have led, and the total size of those deals. While these developments are welcome,
it should not dilute the fact that women undoubtedly still face numerous challenges in the venture capital industry.”


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory,  Private Equity, Debt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.  


                                                                     
                                                          

www.alcormna.com

Tuesday, 7 November 2017

A Guide to Seed Fundraising

Startup corporations have to be compelled to purchase instrumentation, rent offices, and rent employees. A lot of significantly, they have to grow. In virtually each case they'll need outside capital to try and do this stuff. The initial capital raised by an organization is usually known as “seed” capital. This temporary guide could be a outline of what startup founders have to be compelled to understand raising the seed funds essential to obtaining their company off the bottom. This is often not meant to be an entire guide to fundraising. It includes solely the fundamental data most founders would like. The knowledge comes from my experiences engaging at startups, finance in startups.

Why Raise Money?

Without startup funding the overwhelming majority of startups can die. The number of cash required to require a startup to profitableness is typically well on the far side the flexibility of founders and their friends and family to finance. A startup here means that an organization that's engineered to grow quick. High growth corporations nearly always have to be compelled to burn capital to sustain their growth before achieving profitableness. Many startup corporations do with success bootstrap (self-fund) themselves, however they're the exception. Of course, there are numerous good corporations that aren’t startups.


Managing capital wants for such corporations isn't lined herein. Money not solely permits startups to measure and grow, a fund is additionally nearly always a competitive advantage altogether ways in which matter: hiring key employees, PR, marketing, and sales. Thus, most startups can virtually definitely need to lift cash. The great news is that there are unit numerous investors hoping to relinquish the proper startup cash. The unhealthy news is, “Fundraising is brutal”. The method of raising that cash is commonly long, arduous, complex, and ego deflating. Yet, it's a path the majority corporations and founders should walk, however once is that the time right to raise?

When to Raise Cash?

Investors write checks once the thought they hear is compelling, once they area unit persuaded that the team of founders will notice its vision, which the chance delineate is real and sufficiently massive. once founders area unit able to tell this story, they'll raise cash. And typically after you will raise cash, you should. For a few founders it's enough to own a story and a name. Luckily, the software package development scheme these days is specified a classy internet or mobile product may be engineered and delivered terribly} remarkably short amount of your time at very low value. Even hardware may be speedily prototyped and tested. However investors conjointly would like persuading. Sometimes a product they'll see, use, or bit won't be enough. They’ll need to understand that there's product market match which the merchandise is experiencing actual growth.



How Much to Raise?

Ideally, you must raise the maximum amount cash as you would like to achieve profitableness, in order that you’ll ne'er get to raise cash once more. If you achieve this, not solely can you discover it easier to lift cash within the future, you’ll be able to survive while not new funding if the funding setting gets tight. That said, bound varieties of startups can would like a innings spherical, like those building hardware. Their goal ought to be to lift the maximum amount cash as required to urge to their next “fundable” milestone, which is able to sometimes be twelve to eighteen months later. In selecting what proportion to lift you're commercialism off many variables, together with what proportion progress that quantity of cash can purchase, believability with investors, and dilution. There’s huge variation within the quantity of cash raised by corporations.

 Moreover, startup founders should perceive the fundamental ideas behind venture funding. It’d be nice if this was all terribly straightforward and will be explained in an exceedingly single paragraph. Sadly, like most legal matters, that’s unimaginable. Here could be a terribly high level outline; however their prices some time to scan a lot of regarding the small print and execs and cons of varied kinds of funding and, significantly, the key terms of such deals that you simply have to be compelled to bear in mind of, from preferences to possibility pools. The articles below area unit an honest begin.



Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory, Private Equity,  Debt Financing and International Business Development. These Services  leverages insights,   relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company,Complete the Enquiry form One of our representatives will contact you within one business day.  




Monday, 30 October 2017

Private Equity Can Make Firms More Innovative

There’s a long debate concerning whether or not non-public equity investors produce worth for the corporations they purchase. The proof shows that PE-backed corporations generate robust returns for investors, however they’re usually defendant of focusing too sharply on short results (hurting corporations within the long run), loading target corporations with an excessive amount of debt (increasing their risk of going bust), and caring a lot of concerning cost-cutting (eliminating jobs) than revenue growth.

PE’s proponents say this derogatory read doesn’t add up. First, the consequences on employment ar mixed. Second, the most goal of letter of the alphabet investors is to extend a firm’s worth in order that it is often sold-out for profit. This includes cutting inessential costs—but it conjointly means that finding ways in which to extend revenue. And a recent operating paper out of the city Institute for Competition economic science (DICE), a think factory of types, focuses on the latter by exploring whether or not leveraged buyouts (LBOs) build corporations a lot of innovative.


PE investors don’t generally invest in corporations far-famed for innovation. If you raise somebody United Nations agency works in finance (as I had to) concerning letter of the alphabet and innovation, he or she's going to possible tell you that letter of the alphabet sponsors aren’t yearning for subsequent massive thing—they’re yearning for corporations that are dominant in a very market, aren’t risky, and have a sure and steady stream of money to pay back debt. Startups, on the opposite hand, aren’t debt supported, as a result of they’re too risky and unproved, and don't have any assets—not thus appealing to lenders. It conjointly takes a protracted time for returns on R&D investments to be realized—longer than the typical five-to-seven-year amount before the portfolio company is sold-out off.

At an equivalent time, there are bound ways in which LBOs will really build it easier for corporations to take a position within the long run. Attributable to their relationships with banks, letter of the alphabet funds will get funding less expensive than target corporations may beneath their current management. Thus investors will get corporations more cash, assuaging some monetary constraints and facultative them to take a position in growth. And it’s not as if public firms are being praised for his or her long-termism—they’re conjointly subject to shareowner pressure for short earnings. By taking corporations non-public and away from public scrutiny that LBOs permit corporations to form a lot of long-run entrepreneurial investments.

The authors found those 3 years when AN LBO, PE-backed corporations had filed four-hundredth a lot of high-quality patent applications than regular corporations. This can be in keeping with a 2011 article within the Journal of Finance, that conjointly found that patents of personal equity-backed corporations applied for within the years when the investment are a lot of oft cited.


But once the authors distinguished between corporations that were public or non-public pre-buyout, they found that the positive causative result on innovation was statistically vital solely in private-to-private transactions; there was no vital impact in alternative forms of LBOs (public-to-private, secondary, and divisional buyouts). This implies that the positive effects of buyouts are focused privately corporations wherever monetary constraints may be a lot of pronounced, as publically listed corporations usually have higher and cheaper access to external finance. more proving this, the researchers found that letter of the alphabet corporations had the biggest impact on innovation in industries and firms presumably to be financially constrained—industries, like producing and prescription drugs, that are extremely addicted to massive outside investments, and corporations that have a comparatively low credit rating.

All of this adds to the contentious dialogue over whether or not letter of the alphabet investors sacrifice long-run growth for short profit. LBOs will facilitate corporations that are financially affected invest in innovation. However whether or not those investments and patents really pay off is another question. There have been alternative limitations. Patents build an honest proxy for innovation activity as a result of they’re not self-reported, they’re pricey, and that they appear to be extremely correlative with alternative common indicators of innovation. The drawback is that not each invention becomes proprietary and a few patents are a lot of valuable than others.

Private equity has grownup vastly over the past 3 decades. This would possibly justify why MBAs still flock to the trade. however amid worries that leveraged buyouts may well be discontinuous (pay wall) and calls to urge obviate tax breaks on company debt—and with Bain’s head of world non-public Equity warning that “The challenge of the way to build cash investment in letter of the alphabet has ne'er been larger.”—it looks wise that letter of the alphabet investors begin exploring a lot of opportunities for growth. Perhaps this recent survey can abate considerations, as letter of the alphabet investors according increasing revenue as their most significant supply for adding worth, and reducing prices came in last.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory, Private Equity,  Debt Financing  and International Business Development. These Services  leverages 

insights,   relationships and a culture that emphasizes a strong orientation towards excellence.
For additional information on how ALCOR MNA can help you Grow your Company,Complete the Enquiry form One of our representatives will contact you within one business day.  


Tuesday, 24 October 2017

Private Equity’s Long View


What will the gods of personal equity teach US concerning managing for the long term? If you're thinking that that their lightning reflex, do-what-it-takes approach has nothing to inform US concerning the long run, you’d be wrong. perhaps you imagine they merely take a business non-public, load it with debt, strip its assets, then sell it a couple of months later for multiples of the acquisition price—a strategy that looks in spades hostile to the future. however the expertise of properties place through what I’d decision a “strategy workout” by alphabetic character corporations suggests that the exercise will really enhance long-run performance—and that possession over the long run is neither necessary nor spare to line a corporation up for the long run.

Private equity’s footprints across the planet economy get larger by the day. With the customary leverage, it’s among their reach to shop for one out of each 5 U.S. and European firms with market capitalizations beneath $30 billion. Predictably, in bound quarters, screams have gone up concerning this purportedly rapacious new kind of market economy; with its mercenary specialize in short-run gains.


Looked at from another perspective, though, what’s placing is that the degree to that alphabetic character corporations, in their treatment of the companies they acquire, square measure just golf stroke to use several of the most effective concepts and analytic techniques that are developed within the company strategy revolution—the 40-year-old historical method by that firms have converged on strategy because the framework for understanding what they need to try and do. The distinction between the traditional and therefore the alphabetic character approach to strategy is that the non-public equity bucks place their acquisitions through the formulate-a-strategy-and-start-implementing-it method in months instead of years. Do we have a tendency to seeing in their work a form of apotheosis of company strategy?

Most alphabetic character corporations square measure still driven essentially by a passion for deals associated an upmost concern with finances, however as those attributes became commoditized over the past fifteen years, a lot of outfits have come back to require associate progressively active, hands-really-on social control role within the businesses they acquire (if solely to differentiate themselves within the eyes of potential investors). The workouts they place their acquisitions through generally entail a minimum of 5 of the main techniques developed within the evolution of strategy.


They use debt sharply and specialize in income, not on earnings rumored for accounting functions. They scale back prices unrelentingly and determine a method that favors the road of business within which the acquisition dominates its competitors, then they usually dump its different businesses. They assume imaginatively concerning United Nations agency would represent the most effective owner for the business associated raise however long an owner ought to hold on to the property.
If the stock exchange really values a company’s future prospects, then, a minimum of for a few enterprises, short, even perhaps painful, strategy travail at the hands of a personal equity firm is probably going to spice up shareowner price over the future.

Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisory, Joint Venture Advisory, Financial Advisory, Private Equity,  Debt Financing  and International Business Development. These Services  leverages insights , relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.