Investigating Stage

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Investigating Stage

Making of Company’s Fact Sheet

When the client decided to engage in a M&A advisory agreement with AMAC to go on the next step of M&A process that to match a prospective buyer/seller to the business, i.e. we shall sign a “Service Agreement” (Advisory Engagement Letter) so that to officially authorize AMAC to act as your advisor during the contract period.

Nevertheless, terms-and-conditions such as the scope of work, fee-structure, privacy and confidentiality of business information, will be clearly stated and legally binding.

Having signed the above contract, we will prepare the prospective seller’s “company profile”in a somewhat business plan format so that prospective business buyers may review the company’s business condition including financial statements, business outlook and market position, vendor and clientele, personnel and technology know-how, etc. so that to evaluate and make management judgement over a business acquisition.

Evaluation of company stock value

Based on the company’s facts and figures, we will then estimate the corporate value.

There are many ways to evaluate a business, however, our expert in financial analysis will select the best evaluation method and make a rational judgement according to the business profile such as scale of the company or the industry’s characteristics.

Suggestion of M&A process

In addition of “Company Profile” and company evaluation, AMAC will furnish a proposal of M&A process milestone, a M&A schedule to carry each task of M&A process.

This schedule will help us to communicate and report the progress with the client.

Also, this will be the basis we get to know the client’s objective and act on our client’s behalf when initially approaching the prospective buyers or sellers.

Matching the potential M&A buyers

In the next step, before we utilize our AMAC network to seek prospective buyers which we think it matches with our client’s need, we will edit our client’s company profile into our marketing material format but the client’s name is undisclosed.

Yet certain information such as the market position and the business nature, also the financial status must be reviewed by the prospective buyers before they can study an acquisition, to do its own research about the synergy effect and its financial affordability.

Not to mention, no client’s critical information shall be given until the prospective buyer has signed us a Non-Disclosed-Agreement beforehand.