BUSINESS SITUATION
Our client was mandated to explore strategic options to raise money through private placements. The company had an ambitious target to raise >$20 million through a round of funding.
SGA APPROACH
- Initially created an executive summary and then developed an extensive Confidential Information Memorandum (CIM), leveraging the information from the company, company website, databases, company reports, and third-party resources.
- Prepared a business plan highlighting the company’s product, management, expansion plan, and in-depth financial model as well as analyzed the dynamics of the gym management software market through industry-specific valuation parameters and benchmarking of competitors.
- Screened for a list of financial and strategic buyers and maintained a detailed tracker with the latest updates
- Assisted in evaluating the number of securities to dilute with a mix of convertible offerings
- Calculated pre- and post-money valuation to help the company understand its valuation
ENGAGEMENT
We had a one-FTE engagement with the client to support them on this equity-raising assignment that was executed successfully. Post the successful execution, the client signed an additional one FTE support on a continuous basis
BENEFITS & OUTCOME
- High quality and quick turnaround time
- End-to-end deal support with access to SGA’s BIS and graphics services
- The firm could secure $25 million funding
- Support from sector specialists
KEY TAKEAWAY
- 30% more client-facing time
- 40% cost-effective research support
- 25% increase in productivity
