I am sometimes asked, “How many deals have you done?" The question misses the mark in what to ask in evaluating my team and I as a professional resource.
Satisfied clients are what counts, not how many deals close. A successful outcome in working with a client does not require a closed transaction.
A recent potential M&A transaction between Client X and TargetCo is a case in point. We contacted TargetCo through our outreach process, serving as the Client's strategic M&A advisor. Both companies were initially interested. Yesterday my NAPL colleague Tim Fischer and I concluded the deal wouldn’t make sense because the cultures were not compatible.
This e mail from Client X says it all: " Wow - thanks for your tell it like it is recommendation. Actually you confirmed what we were concerned about, but the process had not proceeded to a point to confirm it. You now have confirmed it. It also acknowledges that we have engaged you to not only look into mergers that could work, but also what mergers may not or will not work."
So, rather than ask "how many deals have you done", a more effective approach is to evaluate a potential M&A advisor by speaking with references, clients, and others who were in your shoes at an earlier time.
Oh, and if you want to know how we knew the cutures were not compatible after visiting each company for a few hours, just drop me an email asking and I'll reply. jhyde@napl.org
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