SALES PROCESS

++++ ++++++++

Initial+conversation

++++++++
    ++++++++++++Getting+to+know+one+another ++++++++++++Understanding+which+customer+problems+the+software+solves ++++++++++++Understanding+the+motives+for+a+possible+sale ++++++++++++Exchanging+(high-level)+information+about+the+company ++++++++
++++++++ ++++++++++++For+us,+the+first+step+is+about+establishing+together+whether+we+are+a+good+fit+for+one+another. ++++++++

++++
++++ ++++

Start+of+the+sales+process

++++++++
    ++++++++++++
  • Signing+a+mutual+non-disclosure+agreement+(NDA)
    • ++++++++++++
  • Exchanging+initial+data
    • ++++++++
++++++++

++++++++++++For+a+first+indicative+offer+we+need+a+few+data+points+from+you.+These+include+in+particular+a+product+overview,+organisational+chart,+annual+financial+statements,+financial+planning+and+details+of+customer+losses+and+wins. ++++++++

++++
++++ ++++++++

Indicative+offer

++++++++
    ++++++++++++
  • Presentation+of+the+indicative+offer,+including+Waterkant's+strategic+considerations+regarding+the+acquisition
    • ++++++++++++
  • Decision+on+whether+to+continue+the+process
    • ++++++++
++++++++

++++++++++++On+the+basis+of+our+conversations+and+the+indicative+offer,+you+decide+whether+you+want+to+take+the+further+steps+of+the+process+with+us. ++++++++

++++
++++ ++++++++

Letter+of+Intent

++++++++
    ++++++++++++
  • The+Letter+of+Intent+(LOI)+is+a+written+declaration+of+intent+that+sets+out+the+commercial+and+legal+framework+of+the+sale
    • ++++++++
++++++++

++++++++++++The+LOI+is+an+important+step+in+making+sure+that+both+parties+share+the+same+understanding,+so+that+the+rest+of+the+process+can+be+completed+efficiently+and+without+major+surprises.+On+the+seller's+side+it+is+advisable+to+involve+a+lawyer+who+is+familiar+with+company+acquisitions+in+the+software+sector+as+early+as+the+negotiation+of+the+LOI. ++++++++

++++
++++ ++++++++

Due+Diligence

++++++++
    ++++++++++++
  • Setting+up+a+data+room
    • ++++++++++++
  • Completing+a+due+diligence+checklist+(which+documents+are+required)
    • ++++++++++++
  • One+to+two+days+of+on-site+meetings,+either+at+the+company+or+at+a+neutral+location+(e.g.+a+conference+hotel),+with+a+clearly+structured+agenda
    • ++++++++++++
  • Answering+follow-up+questions+(if+necessary)
    • ++++++++
++++++++

++++++++++++Thanks+to+our+experience+in+acquiring+vertical+software+companies,+due+diligence+(DD;+in-depth+review)+is+typically+very+efficient+and+can+be+completed+with+a+small+team+within+three+to+four+weeks. ++++++++

++++++++

++++++++++++For+Waterkant,+DD+is+not+only+about+validating+hypotheses,+but+also+about+identifying+the+potential+that+can+strengthen+the+company+and+move+it+forward+after+the+acquisition. ++++++++

++++
++++ ++++++++

Purchase+agreement

++++++++
    ++++++++++++
  • We+put+together+a+draft+of+the+purchase+agreement
    • ++++++++++++
  • The+lawyers+on+both+sides+negotiate+the+purchase+agreement
    • ++++++++
++++++++

++++++++++++This+phase+runs+in+parallel+with+due+diligence+(DD),+so+that+findings+from+the+DD+can+be+reflected+in+the+purchase+agreement. ++++++++

++++
++++ ++++++++

Signing+&+Closing

++++++++
    ++++++++++++
  • Meeting+at+the+notary+to+sign+the+purchase+agreement
    • ++++++++++++
  • Transfer+of+the+purchase+price+by+bank+transfer
    • ++++++++++++
  • “Raising+a+glass”+to+what+has+been+achieved
    • ++++++++
++++++++

++++++++++++A+warm+welcome+to+the+team! ++++++++

++++
++++ ++++++++

Kick-off+&+Strategy+workshop

++++++++
    ++++++++++++
  • Professional+preparation+of+the+communication+to+employees+and+customers+(e.g.+FAQ+documents)
    • ++++++++++++
  • Informing+employees+about+the+acquisition+and+the+“why”+of+the+transaction,+as+well+as+the+benefits+that+the+sale+brings+for+employees+and+customers
    • ++++++++++++
  • Running+a+strategy+workshop+with+the+management+team+and+selected+employees+to+agree+the+first+30-60-90+days+after+the+acquisition
    • ++++++++
++++++++

++++++++++++The+first+phase+after+the+acquisition+is+important+for+laying+the+foundation+of+our+joint+cooperation.+We+want+to+create+positive+momentum+in+order+to+develop+the+company+successfully+into+the+future. ++++++++

++++