MMT Chats: Buyer/Seller Tips for a Successful Acquisition
MoldMaking Technology Editorial Director Christina Fuges chats with Fran Brunelle, President of Accelerated Manufacturing Brokers about the ins and outs of today's successful manufacturing mergers and acquisitions.
Settle in and listen to this quick MMT Chat all about mergers and acquisitions, which is something that has picked up within mold manufacturing in recent years.
Fran Brunelle, President of Accelerated Manufacturing Brokers, has a wealth of experience and passion for manufacturing, which shows when she works with her clients (which one in particular shared with me and happens to be the subject of a feature story I am writing right now … so stay tuned).
Here is a brief snapshot of our recent Q&A during my latest MMT Chat. But click the video above to hear the whole 20-minute conversation for M&A tips for buyers and sellers.
MMT: Your background/history in the M&A world?
Fran Brunelle: I’ve been selling manufacturing companies for 26 years. We generally sell companies with revenues between $2-$20 million and we work nationally
MMT: Why are you manufacturing-focused?
Brunelle: This is what I know. I used to sell manufacturing equipment for a living, which eventually led to M&A work as long-time customers needed to sell their companies to retire or sought to expand through acquisition.
MMT: What are some tips from you for mold builders who may be considering selling.
Brunelle: Manufacturers in general, not just mold builders tend to enter the sale process when they’re ready to be retired. The best tip I could give is to start the process early and be prepared for what it takes to go to market. The sale of a company can take about a year to conclude. An acquirer will expect you to remain with them for up to a year. So, you can’t wait until you’re ready to be retired to start the process. Besides timing, preparedness is key. Most owners have no idea of the type of data a quality buyer will expect to see. Of course, there’s the basics like 3- years of tax return and financials, but there’s also, sale by industry, by customer, profitability for the products you make. Customer retention history and more.
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