Mergers & Acquisitions

UBA was established to provide M&A services for our members’ clients.  Not only is this a valuable service for them, it is another source of revenue for our member firms. 

UBA is prepared to assist you and your client with any size M&A transaction.  We have experienced people who have participated in many M&A transactions.  We will act as your “back office” for this type of transaction. 

We are pricing this service very competitively – 20% less than what business brokers charge for their services.  Suggested fees are: 

$0 - $500K                   12%

$501K - $1MM            10%

$1MM - $2MM            8%

$2MM - $5MM            6%

$5MM +                        4% 

You, as a participating CPA (either buyer side or seller side) will receive 25% of the total fee. 

In addition to participating in the M&A fees, your firm will bill your client for all the accounting services associated with the transaction. 

For us to have a successful transaction it is essential that we have legitimate buyers and sellers.

 If you are representing the seller, we encourage you to have a frank and candid conversation with your client to determine if he/she is a “serious” seller.  Just as sellers don’t want “tire kickers” wasting their time, qualified buyers don’t want to waste their time negotiating an unrealistic overpriced transaction.

 Therefore, if you are representing the seller, we strongly encourage you to do a business valuation for your client.  This may be the only fee that is generated.  It will also let the client know what a realistic asking price should be.

 We now offer the best valuation software on the market to assist you with the valuation process.  If you would rather have another firm perform this task we can provide names of the firms that have valuation experience.

 We believe that in order to properly represent your client in the sale of his/her business and/or the arrangement of debt and/or equity, certain procedures must be followed, as outlined below: 

• Assemble the necessary financial and other operating information on the Company from UBA’s Due Diligence Checklist.
• Review due diligence and make necessary on-site visits to the Company in order to verify projections, operations, and other relevant information.
• Prepare a Confidential Private Placement Memorandum (Offering Memorandum) which describes the transaction and the business in detail, including a description of the Company’s history, products and services offered, customer base, supply base, marketing strategy, operations, management background, facilities and an analysis of the historical and projected financial results.
• Assemble a list of potential strategic and financial companies suitable to the Company to complete the transaction with the Company.
• On a discreet and confidential basis, with the consent of the Company, solicit potential parties’ interest.  UBA will contact the parties pre-approved by the Company via a “no name” description of the Company.  This will be followed-up with direct contact to access each party’s level of interest.
• Monitor the execution of Confidentiality Agreements for those potential buyers wishing to review the Offering Memorandum.
• Distribute the Offering Memorandum to each approved prospective party after a Confidentiality Agreement is executed.
• Coordinate site visits for interested parties.
• Solicit, on a best effort basis, competitive offers from the parties.
• Assist the Company in analyzing and comparing expressions of interest.
• Negotiate, in conjunction with the Company’s executives and counsel, the terms and conditions of a potential transaction.
• Work with the Management and the Company’s legal counsel in negotiating the legal documentation to close the transaction.

In undertaking this endeavor and providing the level of professional service that you and your client demand, we will require that your client execute an engagement letter which give United Business Alliance the exclusive right to such a client.  Under this arrangement, we will require a retainer to cover our initial costs of marketing the entity.

In the absence of an exclusive arrangement with the client, we will continue to list businesses for sale by placing them on our website.  This will only be done after a fee agreement has been negotiated with the client.  However, to be listed on our website, each client will be charged a monthly retainer based upon the value of the entity as follows: 

 Companies listed for sale on our website prior to April 1, 2002 will be excluded from this fee structure.

 We look forward to continuing to provide you with the highest level of professional services.  Should you have any questions or comments, please call us at 972-503-1400.