企业主访谈投资者指南

Interviewing Investors: A Step-by-Step A Premier Advisorfor Nine Decades Since 1935, William Blair hasguided owners of closely heldbusinesses and their trustedadvisors through monumentaldecisions. Our relationship-driven approach empowersowners to maximize the valueof their businesses—and turnthat capital into an enduring Business owners considering a transaction often see it as a one-way street—investors asking probing diligence questions to assess value and potentialfit. But due diligence is a two-way process, and a detailed evaluation An important part of the process is sufficiently probing the investor’s intent to ensurealignment with the company’s vision, culture, and long-term goals. If alignment is This article provides questions to help unearth potential alignment, broken intothree categories. 1.Investment Approach and Philosophy2.People and Leadership3.Value Creation Post-Transaction Investment Approach and Philosophy Capital Commitment How much equity can you commit to accelerate the growth of my business? Investment History Do you have an example of an investment that was successful and one that was challenged and your role ineach of those—and can we contact those management teams to ask about your work with them? Portfolio Management How many portfolio companies do you manage at one time, and how do you balance your resources across them? Holding Period What is your typical holding period—and how do you envision the lifecycle of my business under your stewardship? Exit Strategy What is your typical exit strategy (e.g., control sale, minority recap, IPO), and how do you ensure alignmentwith management on timing and execution? Leverage How much leverage do you typically use in transactions? What is the strength of your lending relationshipsand how have you worked with them in both good and challenged times? Ownership Structure What is your typical approach to ownership structure stock classes, rollover equity, board representation, etc.? Growth Strategy Do you envision my company as a platform acquisition for bolt-on growth, and/or is your focus on organic growth? People and Leadership Who will we be working with after the close and what is their relevant industry and operating experience? Team Continuity Will the investment team we meet during the transaction process be the team that stays with us going forward? Engagement What’s your team’s typical level of involvement in day-to-day operations and what should I expect for my business? Interaction Frequency Where and how often will we meet with your team? Management Changes Do you anticipate changes to our existing management team, and to what extent will we have a say in those decisions? Governance What is your approach to governance and board makeup? Do you typically bring in outside board members? Decision-Making AuthorityWhat decisions will require board or investor approval, and how much autonomy will management have? Conflict Resolution How do you handle conflicts with portfolio companies and management teams? Existing Team What is your early perspective on our existing team, do you anticipate increasing or decreasing headcount,and how have you handled staff reductions in the past? williamblair.com William BlairFounder-Owned Value Creation Post-Transaction Value-Add What is your strategic vision and investment thesis to unlock additional value? Andrew Hansen+1 312 364 5439ahansen@williamblair.com Resources and Expertise What resources or expertise can you provide (marketing, technology,operations, etc.)? Are there shared resources for portfolio companies? Sam Longenecker+1 312 364 5237slongenecker@williamblair.com Operational Efficiencies In what areas do you see opportunities to improve efficiency, and how do you Risk Management How do you typically help portfolio companies manage risk and/or downturns Strategic PartnershipsCan you facilitate introductions to strategic partners, such as key suppliers, customers, or distribution channels? Legacy and Culture Do you typically see value in maintaining a company’s legacy (brand, communityinvolvement, and culture)? How do you plan to preserve our company’s legacy? This detailed list is far from comprehensive as every business and investor relationshipis unique. A business owner’s goal should not just be securing capital but aligning with a Please don’t hesitate to reach out to discuss due diligence of potential partners. “William Blair” is a trade name for William Blair & Company, L.L.C., William Blair Investment Management, LLC and William BlairInternational, Ltd. William Blair & Company, L.L.C. and William Blair Investment Management, LLC are each a Delaware companyand regulated by the Securities and Exchange Commission. William Blair & Company, L.L.C. is also regulated by The FinancialIndustry Regulatory Authority and other principal exchanges. William Blair International, Ltd is authorized and regulated by theFinancial Conduct Autho