THIS WEEK IN BROKEN DEALS

Here’s what’s in store for this week:

• Announcement: Reply to this email to get a free copy of our new ebook, The 10 Commandments of a Sellable Business

• Best Link: The State of Private Equity in 2024 with Charts & Data

• The Graveyard: Did you know that about 13% of all deals fail because of management transition issues? This week we go deep on how to avoid the deal graveyard by transitioning smarter.

• Work With Us: We just opened up a new program for small growing M&A Advisors and Brokers to get Wall Street level analyst help with their deals on a success-fee basis. Book a call with us below to learn more.

ANNOUNCEMENT

Get our new ebook, The 10 Commandments of a Sellable Business!

This ebook contains the main principles we’ve uncovered analyzing hundreds of broken deals and describes the 10 things you must avoid to close more deals, including:

• Why focusing on price is often a mistake and how to use it to your advantage to speed your deal to a closing

• How to manage your team through closing so your sales stay strong

• The mindset every seller must have to guarantee a successful exit (and why avoiding it can cost you millions)

• And more…

Click this link now to download your free copy.

BEST LINKS

Matt’s Favorites

• What’s really going on with inflation, by Apollo Capital (Twitter)

• What being a great CEO really looks like, by Snowflake CEO, Frank Slootman (Twitter)

Finance & Capital

• Why Paul Kazarian at Japonica Partners is one of the best private markets investors ever. (Twitter)

• What fundraising expert, Ahmed Husain, is seeing across family office ecosystem and what it means for SMB deals (LinkedIn)

• Matt appears on the How2Exit podcast and talks about roll-ups (Youtube)

Deal Mechanics

• Great Due Diligence Gantt Chart by Chris Reilly (LinkedIn)

THE GRAVEYARD

10X Your M&A Conversations: How to Stop Wasting Time and Start Closing Deals

Let me ask you a blunt question: How many deals have you let slip through your fingers because your conversations weren’t laser-focused? If you’re like most in the M&A game, the answer is “too many.” And that’s a problem—a costly one.

The Brutal Truth

Your conversations are meandering, aimless, and worst of all, ineffective. You’re dancing around the issues, avoiding asking for what really moves the needle. You’re wasting time—time that your competition is using to snatch deals right out from under you.

Feel That Sting? Good.

Imagine this: You’ve spent weeks nurturing a deal. Countless calls, emails, maybe even a dinner or two. You think you’re making progress. Then, out of nowhere, a sharper, more prepared player steps in and seals the deal. You’re left holding the bag, wondering what the hell happened.

This isn’t some rare occurrence. It’s happening every day. And if you don’t change your approach, it’ll keep happening—to you.

But It Doesn’t Have to Be This Way

What if you could turn every conversation into a strategic weapon? What if you had a framework that ensured you’re always driving toward your goal, never wasting a second on fluff or filler?

Introducing My 3-Step Framework for 10X Better Conversations

This isn’t some theoretical mumbo-jumbo. It’s a battle-tested strategy that I’ve used to close deals that others only dream about.

1. Clarify Context

Before you utter a single word, remind yourself who you’re talking to and why they matter. This isn’t just about them—it’s about aligning your mindset.

• Know Their Role: Are you taking with a broker who might become the main gatekeeper in the transaction or a decision-maker like the CFO or business owner?

• Understand Their Needs: What problems are they trying to solve?

• Anticipate Obstacles: What objections might they have?

By clarifying the context, you eliminate mental fog. You’re sharp, focused, and ready to hit the ground running.

2. Define What You Really Want

Be brutally honest with yourself. What’s the endgame of this conversation?

• Is it a Commitment? Maybe you need them to agree to a follow-up meeting.

• Is it Information? Perhaps you’re seeking insights that only they can provide.

• Is it a Decision? You might be pushing for a final agreement.

Visualize the outcome. See it, feel it, own it. When you’re clear on what you want, you’re less likely to pull your punches.

3. Craft a Simple 3-Step Strategy

Complexity is the enemy of execution. Your plan should be so simple you can recall it without notes.

Three steps. That’s it. Anything more, and you’re overcomplicating it.

An Example to Make It Real

Let’s put this into action. Suppose you’re gearing up for a call with the owner of a company you’re looking to acquire.

• Clarify Context: The owner is the main decision maker and an engineer. You are one of two potential buyers talking with him. He will likely want specifics and expect you to use your best manors.

• Define What You Really Want: You want him to agree to your LOI terms.

• 3-Step Strategy:

  1. Acknowledge His Specific Concerns: Go over the concerns you’ve heard in prior conversations.

  2. Present LOI as the solution: Show how your acquisition can address his concerns and be the best solution for him.

  3. Ask for him to sign your LOI: “If you’re ready to move forward, I am too. Are you comfortable moving ahead and signing the LOI?”

How I Use This Framework

I wasn’t born knowing this stuff. Early in my career, I lost deals because I lacked focus. Then I got serious. I started using this framework religiously.

On one occasion, I was up against a competitor with deeper pockets and more experience in the race to buy a particular business. But I had a sharper strategy. I clarified that the CEO I was speaking with valued job opportunities for his employees more than just cash. I defined my goal: get him to agree to build an employee incentive comp & training plan with me. My 3-step strategy?

1. Highlight Shared Vision: Connected on our mutual commitment to helping employees.

2. Showcase Success Stories: Presented case studies of employee comp & training programs we’d implemented.

3. Ask for commitment: Invited him to work on a plan side by side with me that suited his needs over the next two weeks.

He accepted. The other guy? Never stood a chance because he was too focused on other terms that mattered less to the Seller.

Your Move

You can keep winging it, hoping that charm and luck will carry you through. Or you can take control. Implement this framework and start turning every conversation into a strategic advantage.

Remember, in the cutthroat world of M&A, there are winners and losers. Which one do you want to be?

Don’t Waste Another Minute

Stop leaving deals on the table. Start having conversations that count. Adopt this framework today, and watch your success soar.

P.S. Success favors the bold. Be bold. Take action. Close deals.

THAT’S A WRAP

Before you go: Here are 2 ways we can help

Is your deal stuck? We may be able to help. Get a free 30-minute deal assessment here — LINK TO SCHEDULE ASSESSMENT CALL

Are you an M&A Advisor or Broker looking for Wall Street-level financial analysis support for your CIMs and client financial info? If so, we offer a success fee-based program to help you close more deals with less overhead. To learn more, schedule a call here — LINK TO LEARN ABOUT SUCCESS-BASED FINANCIAL ANALYSIS