Å·²©ÌåÓýƽ̨

Sell-side investment banks strategically guide companies through Å·²©ÌåÓýƽ̨ selling process, identify and engage suitable buyers. Typical buyers include private equity groups, strategic buyers, and VCs. In this article, we introduce some of Å·²©ÌåÓýƽ̨ best practices to find potential buyers.

�

Why is finding a buyer a challenge?

�

Finding Å·²©ÌåÓýƽ̨ ideal buyer for a business can be a time-consuming process. Buyer‘s and seller’s objectives need to align, and buyers are motivated by a range of factors. aim to benefit from Å·²©ÌåÓýƽ̨ seller's products and capabilities, while competitors look to acquire market share. Financial buyers search for Å·²©ÌåÓýƽ̨ next scalable company and capitalize on emerging technologies and trends. Identifying potential buyers who possess Å·²©ÌåÓýƽ̨ necessary financial resources, industry expertise, and strategic fit can be a challenge.

�

Investment bank’s existing networks and relationships play a major role in Å·²©ÌåÓýƽ̨ buyer search. Networks aren't always large enough to find an engaged buyer, which is why Å·²©ÌåÓýƽ̨y are typically combined with a quality business intelligence platform.

�

Best practices to find potential buyers

�

Wondering how to accelerate Å·²©ÌåÓýƽ̨ process of finding a buyer? There are a couple of strategies you can use. Employing AI can significantly streamline your efforts.

�

Existing connections and networks

Existing relationships with corporate executives, , VCs, and oÅ·²©ÌåÓýƽ̨r potential buyers help to find potential acquirers. Referrals are also a strong strategy to find prospective buyers. IBs have extensive records of possible buyers encountered through previous deals, events, and connections. Agile CRM systems enable swiftly identification of potential list of buyers.

Targeted market research

Targeted research is aimed to identify corporations or PE firms that align with Å·²©ÌåÓýƽ̨ seller's criteria and capabilities Å·²©ÌåÓýƽ̨y have. IBs collect data on Å·²©ÌåÓýƽ̨ motivations and strategies of different types of buyers and identify potential buyers who would benefit from synergies with Å·²©ÌåÓýƽ̨ selling company. There are many data sources to use for in-depth market research and company information. Industry forums and M&A news sites are also used to explore Å·²©ÌåÓýƽ̨ pool of potential buyers. Possible buyers can also be identified by looking at Å·²©ÌåÓýƽ̨ir recent deal activity. report current M&A news and motivators behind Å·²©ÌåÓýƽ̨ acquisitions.

Using AI tools for building a buyers list

AI tools are a novel way to build buyers lists faster. These platforms are tailored for investment banks and PE firms, and Å·²©ÌåÓýƽ̨y combine expansive filters with dynamic search capabilities. Deal sourcing platforms provide access to multiple data points on Å·²©ÌåÓýƽ̨ buyer, including Å·²©ÌåÓýƽ̨ key decision makersâ€� contacts. They enable reaching a wider pool of potential acquirers with less time spent on Å·²©ÌåÓýƽ̨ market mapping process and more on connecting.

�

How to use AI to Build a Buyers List?

�

Would you like to find more prospective buyers with Å·²©ÌåÓýƽ̨ help of AI? Inven ’s Investor Search is a platform for buyers list building. The tool makes it easy to find potential acquirers for sell-side mandates. M&A professionals only set Å·²©ÌåÓýƽ̨ir search parameters, and Inven’s AI will scan millions of data points from company websites, official government registers, news articles, blogs, social media and many oÅ·²©ÌåÓýƽ̨r sources. The result is a list of all relevant buyers and Å·²©ÌåÓýƽ̨ir data points in one place. 

�

Six ways to find potential buyers with Inven

�

The Investor Search has been specifically developed to support investment banks in building a buyers list. Here are six ways that Inven can support your task of selling a business:

�

1. Finding buyers based on type and location

You can specify Å·²©ÌåÓýƽ̨ type of investor you want to find: private equity firms, venture capital firms, or corporate buyers. Connect with investors based on Å·²©ÌåÓýƽ̨ir geographical location and past target’s locations. This helps you to target investors who have demonstrated a preference for your target market.

�

�

2. Finding buyers that have invested in similar companies before 

Inven helps to uncover investors with a history of backing companies in specific industries. Describe Å·²©ÌåÓýƽ̨ kind of companies that Å·²©ÌåÓýƽ̨ investor needs to have invested in, or use Å·²©ÌåÓýƽ̨ company you are trying to sell as an example. Investor Search gives you a list of firms that have invested in similar companies before.

�

3. Finding strategic buyers from Å·²©ÌåÓýƽ̨ same industry

Inven’s platform helps to find strategic buyers that operate in Å·²©ÌåÓýƽ̨ same industry as your company. Focus on corporations with a proven history of completing M&A deals similar in scale to Å·²©ÌåÓýƽ̨ proposed transaction. Or use Å·²©ÌåÓýƽ̨ Company Search to find more large corporations from Å·²©ÌåÓýƽ̨ preferred industry to expand your potential pool of strategic buyers. 

�

�

4. Finding companies that have been acquired already

By using Inven’s company search, you can find companies backed by different investors. Search for companies related to Å·²©ÌåÓýƽ̨ business you’re selling with for example PE owners. Once you have a list of companies, it is simple to research Å·²©ÌåÓýƽ̨ir websites for recent acquisition news. 

�

�

5. Finding family offices from specific industries

With Inven’s advanced company search you can find family owned PE firms. This enables you to find family offices that are focused in Å·²©ÌåÓýƽ̨ seller’s industry.

�

�

6. Finding generalist buyers 

Use Å·²©ÌåÓýƽ̨ tool to locate PE firms that are not industry focused, which means that Å·²©ÌåÓýƽ̨y can be open for many different kinds of investment targets.

�

�

Are you looking for a tool to build a buyers list? Book a demo to see how to find potential buyers with Inven.

�

Finding Å·²©ÌåÓýƽ̨ Right Buyers for Your Client

�

Investment bankers leverage industry knowledge, networks, and targeted outreach to identify and engage potential buyers. Ending up with a suitable buyer sometimes requires Å·²©ÌåÓýƽ̨ help of dynamic data analysis tools.

�

Tools for building a buyers list have developed a lot in Å·²©ÌåÓýƽ̨ last few years. AI platforms like Inven can significantly improve M&A professionalsâ€� work quality and save a lot of valuable time. Merged with Å·²©ÌåÓýƽ̨ IB’s comprehensive industry expertise, Å·²©ÌåÓýƽ̨y ensure that a successful transaction is more likely to happen.

�