Tag: authentic deal-making

As you know, not every deal is a good deal. Some deals fall apart during the negotiating process, while others go through but bring problems and challenges you weren’t expecting. How do you know which deals are worth doing for your business, and which you should avoid? How do you ensure that your company benefits from the deal without unexpected side effects?

On the most recent episode of the Fueling Deals podcast, my guest was Chris Wilkerson. Chris is the Founder and CEO of High Bar Capital, a group which specializes in funding, acquisition and management of high-quality businesses in niche markets. Their stated goal is to grow businesses while increasing their value. Chris has extensive experience with deals, having previously worked in business development at Ventro, a B2B marketplace. Throughout his career, Chris has seen and experienced both good deals and bad deals, and his firsthand experience has given him some valuable insights.

During our conversation, Chris shared his work at High Bar Capital and discussed how they typically control a majority stake in between three and five businesses at any given time, and he shared the important criteria he uses to evaluate a deal. He offered examples of some of the deals that didn’t go the way he wanted them to, and he highlighted the important lessons he learned along the way.

Understanding Your Deal Partner

One of the stories Chris shared during our conversation was about a deal that he had sunk plenty of time, attention and work into, only to have it fall apart and his deal partner walk away from the table. As it turns out, Chris didn’t understand his deal partner as well as he thought. He didn’t know who the actual decision-makers at the other company were and didn’t know what they ultimately hoped to gain from the deal, and as a result they backed out. It took months for Chris to repair the relationship and try again.

The lesson here is that it is important to understand who you are dealing with and what they are expecting from you. Chris learned this lesson, and it helped him in future deals. Do your research, make sure the person or people you are dealing with are empowered to make decisions on the other company’s behalf, and take the time to ask questions and truly understand what they hope to achieve from their deal with you. That way, you can offer products or services that are core to their operations and you can ensure that your offer proves irresistible, without any unexpected surprises.

White Label Deals

There are countless types of deals you can do with another company to inorganically fuel your growth, but during our conversation Chris brought up “white label” deals. These deals, also called “private label” deals, are when you offer a product or service to another company but allow them to package or rebrand it as their own work, and they can be beneficial for both parties.

You know how most grocery stores sell their own store brand of common products like peanut butter or soft drinks? These are private label deals in action. The grocery store chain probably isn’t in the business of manufacturing their own products, so they have worked out a deal with another company to manufacture products that the grocery store chain can sell under their own label. Often, the manufacturer of that rebranded product already has a product under their own name on the shelf right next to it, selling at a higher price point. These kinds of deals benefit both companies; the manufacturing company is selling a large quantity of product, and the other company is able to offer an “in house” brand option without having to go to the expense of setting up a manufacturing facility.

This is a great example of just one of the many types of deals you can use to fuel the growth of your business. The world of deals goes far beyond just mergers and acquisitions, as you can see, and I hope it opens your eyes to the limitless possibilities deals can bring your company. For more informative episodes of Fueling Deals like this one, please visit www.fuelingdeals.com.

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

For this episode of the Fueling Deals podcast, I wanted to discuss a subject that has been on my mind a lot recently. The recent college admissions scandal that has involved several prominent celebrities and been in the news so much really got me thinking about the importance of character. Character means sticking to your morals and values, doing the honest thing even if it is the hard thing, and sometimes sacrificing what is profitable in favor of what is right.

I know this subject is outside of the normal scope of my Fueling Deals topics, but I do think there is a business-related value to be derived from maintaining alignment with your character. In this “solocast” episode, I share a few of the stories that have been on my mind recently, both on a personal level and from newsworthy events. I discuss how character can be a guiding principle that helps you avoid deals you shouldn’t get caught up in, and I share why there can be a tangible, valuable benefit to making the hard choices.

A Public Conversation About Character

The celebrity college admission scandal, in particular, has sparked a national conversation about character, morals, and values. On social media, people are calling out the people involved in the scandal for their actions, as well as defending their behavior. The story has brought about a great deal of discussion of what is and is not acceptable behavior for people trying to give themselves an advantage, and I think this conversation is an important one that our society needs to have. Whether it’s the world of business, celebrity or politics, it seems that scandals are appearing in the news more and more these days.

In some regards, I feel that the importance of character has taken a backseat in our society. People are doing morally questionable things today without social repercussions, things that would have been considered dishonest in times past. When an athlete gets bumped and “oversells” being injured to score a penalty against their opponent, we shrug our shoulders. We tell ourselves, “that’s just how the game is played.” In some ways, society has become too accepting of people doing whatever it takes to get an advantage. But at what cost?

Standing Up for What’s Right

I believe that we would all be better off if we collectively held ourselves to a higher moral standard. Sometimes, that little advantage isn’t worth the cost it takes on our character. Maybe a shady deal would be profitable, but if our values don’t align with our deal partner it can also have negative repercussions on our trustworthiness and business reputation. Doing the right thing and doing the easy thing aren’t always the same, and sacrificing your character for the sake of taking a shortcut or avoiding the hard work seldom pays off.

Conversely, maintaining alignment with your character and sticking to your values can build social currency that can be worth more than money. Doing your due diligence and vetting a deal partner can help ensure that you will be happy with the non-monetary outcomes of the deal. Or, it will warn you of potential dangers you might not have considered and may warn you away from the deal entirely. As much as I advocate for the power of inorganic growth through deals, there’s a reason for all those cautionary tales about making deals with the Devil. Sometimes, the best outcome is to just get up and walk away from the table.

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

Mergers & Acquisitions

The great thing about M&A deals is the opportunity they present to combine two talented, experienced teams of professionals into one group. The danger of mergers and acquisitions comes from combining two teams with differing cultures, attitudes, goals and egos into one group. Just as the right mix of people can be an explosive catalyst for your business, the wrong mix can see everything blow up in your face.

Not long ago, I invited David Shriner-Cahn to join me on the Fueling Deals podcast. David is the host of Smashing the Plateau, a highly regarded podcast with more than 400 episodes of wisdom that entrepreneurs and business professionals can draw from to help their business break through to the next level of success. David’s podcast has been featured in Forbes Magazine’s “Three Podcasts to Power Up Your Ultra-Lean Business,” and has appeared on the list of Inc. Magazine’s “5 Entrepreneurs That Will Change the Way You Communicate.”

During our discussion, David and I talk about the important things to keep in mind before a merger or acquisition, and the key steps that need to be taken after the deal is complete. There are a lot of critical considerations to keep in mind when trying to successfully integrate two established teams, and David offers guidance to help you navigate the delicate period of time after a merger or acquisition has been completed.

Before You Sign

As you know, the purpose of this podcast is to help you expand your business with inorganic growth through deals. But this kind of growth comes with its own challenges for which you need to prepare well in advance. It’s important to know what you’re getting into and ensure that your company culture and that of your merger or acquisition partner will integrate smoothly.

You also need to go into the deal with a game plan to address communication needs, help your two teams get to know and trust each other, and establish a clear hierarchy of roles within the new post-merge organization. If you take the time to prepare in advance of the deal, you can help guarantee a much smoother transition once the deal is complete.

After You Merge

The biggest difficulties you’ll face once the deal is complete stems from fear. Mergers can be disrupting and chaotic and, if your team is afraid of the future, it makes things so much more challenging. Addressing those fears with clarity and sincerity is key.

One-on-one conversations, open and frequent lines of communication, and trust and interaction between the C-suite and the ground-level employees is vital. By recognizing, addressing, and alleviating fears on a continual basis, you can accelerate the integration of your teams and strengthen the resulting culture after the merger or acquisition.

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

In this episode of the Fueling Deals podcast, I take you through the very important (and sometimes challenging) step of finding the right deal for your business. It is important to go into this step with a clear understanding of your goals and expectations, so that you can be certain the deal you are considering will fit your needs.

There are many options for locating a potential deal, and many companies turn to both business brokers and investment bankers to help facilitate these connections. However, other options include networking within your industry, reaching out to influencers for sponsorships or brand deals, and even talking to other professionals in your day-to-day life such as your attorney. The options for finding a deal are almost as varied as the types of deals themselves.

For this episode, I highlight some of the key things to keep in mind as you’re looking to procure a deal, to ensure that you go into this important step in the process fully informed, aware of your options, and aware of potential pitfalls and challenges you might face.

Being Prepared Before You Begin

Before you ever get started searching for a deal, you need to ask yourself a few key questions. What are you hoping to accomplish from this deal? Accelerated growth? Marketing possibilities? An exit from your business? Access to new customers or clients? Knowing what you want from a deal is necessary to be certain that any potential deal you find will fit your business needs.

Additionally, once you are clear on your needs and goals, you also need to do research to ensure that your deal will be fair to all parties involved, and so that you understand any associated fees, costs or drawbacks that may come with the deal. Analyze other deals completed by similar businesses in your area or industry. It is even worthwhile to reach out to your competitors to ask them about their experience with similar deals.

By taking these important early steps, you can better evaluate potential deals to ensure that they meet your criteria, and you can more confidently complete the deal knowing what to expect from the process. Understand the benefits and risks of a potential deal and be clear on whether it satisfies your current business needs, and you will be able to move to the next step in the process in a much stronger position.

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

The true key to success is found in being smart with your money and being smart with your opportunities. Being smart with your money means that you’ll have the financial standing to take opportunities when they are presented. And choosing the right opportunities can open new doors you never dreamed of.

I recently invited renowned author and financial expert David Bach to join me as a guest on the Fueling Deals podcast. David is the nine-time New York Times bestselling author of the Finish Rich series of books beginning with his phenomenal series debut Smart Women Finish Rich, as well as the Automatic Millionaire series. David’s newest book, The Latte Factor, is aimed at today’s young people in an effort to show them that the American Dream can be alive and well for them… if they’re prepared to start working and saving for it now.

In our conversation, David and I talk about how he started developing his Finish Rich system, and why he feels passionately about showing people a smarter way to interact with their money. David discusses how an important licensing deal led to the remarkable ongoing success of his program, and he shares why he learned early on to protect himself from bad actors.

Doing Deals Smartly

After David had developed his Smart Women Finish Rich program, he sought to do licensing deals for its content to generate royalties. The licensing deal David was able to complete created many new opportunities for him and helped create the landscape where his program could flourish and grow. However, David was cautious about being exploited during the development of his program, and he took the time to obtain the relevant trademarks and legal protections for his system before he began shopping it around.

This highlights the importance of protecting yourself legally. Before you start looking into any kind of potential deal, you should consider what legal protections you will need in the event that someone tries to take advantage. And, as David made clear, before you sign any agreement, it is critical that you have a trusted legal expert look the paperwork over. Smart business and legal support leads to good deals.

David then gave insight about how he has leveraged his intellectual property, brand and value into equity positions in companies.

Teaching the Next Generation

David’s new book, The Latte Factor, is aimed at today’s millennials and younger. David wanted to show them that, despite the many financial challenges they may face, there is a clear path to the American Dream available to them if they start planning for it early. As a passionate teacher, David has long believed that it is important to learn to manage your money smartly, as early as you can.

This lesson was something David learned for himself early in his career, when he was shown how a little money saved each day would add up to a huge retirement account. This was a key lesson for David, as were still earlier lessons he learned from his financially astute grandmother who was a self-made millionaire. The remarkable thing about David Bach is that he recognized the value of these lessons at a very young age, and now he works to pass those same lessons on to the next generation. David truly believes that it is never too early to start saving for retirement, and he also believes that anyone can achieve their goals with enough diligence, hard work and willingness to learn.

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

My goal is to always bring you new strategies, wisdom and unorthodox ideas that can help you grow your business rapidly and inorganically. With that in mind, I decided to talk to an incredible group of entrepreneurs from across various industries and business models in an informative roundtable discussion.

During a recent episode of the Fueling Deals podcast, I hosted a roundtable discussion with Walton Financial founder Scott Walton; Judy Briggs, a 1-800-GOT-JUNK franchisee; Chuck Morris, owner of Morris Creative Group; Jane Bolin, Chief Marketing Officer of Peyton Bolin; and J2 Solutions founder Vijay Khatnani.

In our interview, the roundtable group discussed how their businesses were able to use deals to accelerate their business growth. We discuss the lessons each entrepreneur learned in the process of closing their deals, and we share valuable strategies, insights and wisdom to help you find and complete your own deals. Listen to our discussion and see how, regardless of the size of your business or the industry in which you operate, deals can be used to fuel your organization.

The Benefits and Challenges of Deals

If there’s one thing I hope you’ll take from our roundtable discussion, it’s that it doesn’t matter how large or small your company is and it doesn’t matter what industry you work in, growth through deals is possible for you. These five incredible business professionals all saw the potential of inorganic growth as a catalyst for their companies.

My guests also share the concerns they felt and the challenges they experienced as they prepared to close their deals, as well as the steps they took to overcome those problems. This is a great educational opportunity to hear firsthand how the process of acquiring or merging works and to prepare yourself for any potential obstacles.

For Companies of Every Shape and Size

The five businesses represented during the roundtable come from wide-ranging industries: legal services, financial services, marketing, information technology, and even junk removal. They are family operated, partnerships, sole proprietorships and franchises. But, as diverse as they are, they all fueled their growth through deals.

Just as these five entrepreneurs were able to use inorganic growth to expand their businesses, you too can benefit from business partnership, franchise, equity barter, acquiring or merging and other deals to grow your own business. These real world case studies are a great way to familiarize yourself with the process and truly highlight the benefits you can reap from the rapid growth of fueling deals.

—

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

When it comes to deals, few things will facilitate or derail a deal the way the people involved will. Emotions and egos have an oversized impact on the success or failure of deals, and they can cause negotiations to rapidly break down over a perceived slight or imbalance that could have been worked out to everyone’s satisfaction.

I recently spoke with John Furey, the founder and principle of Advisor Growth, as a guest on my Fueling Deals podcast. John and his organization specialize in the financial advisor industry and in helping financial advisor firms grow, expand, strategize, and do deals of all kinds. John knows from firsthand experience the importance of keeping a level head and remaining fair to all parties involved, and he has also seen how emotions can have a chilling effect on deals.

In our discussion, John shares some of the strategies and advice he provides his clients, including the importance of remembering that three constituencies are involved on each side of a deal: the owners of the dealing businesses, the teams that make up those businesses, and the clients or customers who rely on those businesses. A successful deal will benefit all three of these distinct groups and help satisfy their unique needs and expectations.

Checking Emotions at the Door

As part of his work on behalf of his clients, John helps to facilitate deals. A big portion of that facilitation lies in ensuring that everyone keeps a level head. As John said during our conversation, “let’s not let a transaction die over a toaster oven”. In other words, when small, easily solvable issues with a deal collide with huge egos, the entire deal can unravel.

Being clear in your expectations and keeping a willingness to compromise are critical for any deal. It isn’t as important to have every box in your column checked as it is to ensure that both sides feel they are being treated fairly. Try to remain calm, be flexible, and prioritize the things that actually matter and your negotiations should go much more smoothly.

Attracting and Keeping Talent

One of the other functions of John’s organization is helping financial advisor firms strategize and plan for growth. Of course, business growth is at the heart of what the Fueling Deals podcast is all about, so during our conversation we explored some of the other advice and tips John shares with his clients.

One of the things John said that really stood out is that it is bright, talented professionals are vital for the success and growth of any firm. Attracting and keeping that talent is incredibly important, but doing so requires offering a clear and communicated path for those talented individuals within the firm. That involves things like compensation, career advancement and other steps that need to be taken to ensure that your great employees understand how they can continue to grow alongside the firm’s growth.

Learn more about Facilitating Deals and Growing Firms, with John Furey by listening to my episode on Fueling Deals podcast.

—

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!

In this episode of the Fueling Deals podcast, I highlight some of the key points I have been able to draw from some of the deals I have personally worked on. These deals are protected by attorney-client privilege, of course, so I can’t go into the specifics of the deals, but I do want to discuss some of the prevailing themes and key considerations that were found in these deals.

There are numerous details to consider when navigating a deal, and there are countless ways a deal can capsize or go sour, but there are a few primary points that we can look at that are important to any deal of every kind and size.

The importance of keeping your patience, appropriately pacing a deal, asking the right questions, dealing with “conversation stopping” statements, and maintaining relationships with your deal partners cannot be overstated. These critical steps will help you deal with many of the challenges, obstacles and obstructions in your own deals. I hope you’ll listen to the episode and learn why each of these steps is so vital to a successful deal.

Navigating Treacherous Waters

Many of the problems you may face when negotiating with a deal partner can be mitigated or totally avoided by maintaining a calm, level head throughout the process. Impatience can lead to losing any advantages you have during the negotiations, and it can derail the deal entirely if emotions are running hot. That’s precisely why it is important to allow a deal to carry its own momentum and avoid trying to hurry it along artificially or slow it down dramatically.

Likewise, it is important to know how to deal with conversation-stopping statements like “that’s how we’ve always done it” and “nobody has ever asked that before”. When these statements are made, it is the other party’s attempt to shut down the conversation. In response, explain that because it has always been done that way doesn’t make it right and that you are not everyone else. Then explain why it matters to you and make your case for why you are pressing the issue. Many misunderstandings and miscommunications can be avoided in this way.

Smooth Sailing

Just as there are steps to take to keep a deal from derailing, there are other steps you can take to strengthen a deal. Open communication is vitally important for building trust and letting the other party know that you’re serious. Asking questions and seeking clarification on important or confusing details can keep the negotiation process flowing smoothly.

By taking these important steps all throughout the deal process, you can avoid many of the rocky issues that can create difficult problems or even shut down a deal in progress. Of course, other issues may still come up, but by remaining patient, allowing things to move at their own natural pace, asking key questions and building a relationship on trust and communication, you have already laid the foundations of a strong deal and are better prepared to deal with any other problems that may arise.

—

Corey Kupfer is an expert strategist, negotiator and dealmaker. He has more than 35 years of professional deal-making and negotiating experience. Corey is a successful entrepreneur, attorney, consultant, author and professional speaker who is passionate about deal-driven growth. He is also the creator and host of the DealQuest Podcast.

If you want to find out how deal-ready you are, take the Deal- Ready Assessment today!