Shoot the Moon with Revenue Rocket

In this episode of shoot the moon podcast, Revenue Rocket's CEO Mike Harvath and EVP of Business Development Matt Lockhart sit down with Brent Combest , General Manager, One Commercial Partner at Microsoft. Hear what is in the works at Microsoft and how the partner network of Microsoft Managed Partners around the world will play a role. The dialog spans the past lessons learned, trends, and the mo...

We really have seen it all when it comes to do's and don'ts during an M&A deal. Here are a few takeaways from some of our past experiences: Be yourself - but don't over do it Be mindful of what's around you and what you are doing during a video call Be smart about add-backs and what is considered an add-back Always conduct yourself professionally - even if you are not sitting at a conference room...

Overcoming the inertia of every day can become difficult. How do you break through some of the revenue thresholds and execute against a plan that will help you grow? We believe it has to do with making changes in your business and adapting to the needs of your clients and the market. Sometimes doing what you’ve always done is the recipe for getting what you’ve always gotten. Here at Revenue Rocket...

The most important thing a buyer can do from the very beginning of a potential deal is to show how much they care about the company, the process, and the future of the seller's company. We've seen many buyers come in with a financial number first, which we believe is the wrong place to start. We've seen the most success in showing up and being excited about the deal! In this episode of Shoot the M...

Listen to tips and tricks to establishing healthy valuations, deal structures, and proven processes to reaching a successful combination under today's market conditions. As a firm that represents many buyers, we see transactions happening every day with buyers making strategic moves to get the best deals done.  Reach out to Revenue Rocket to skyrocket your growth through acquisition: info@revenuer...

Let's talk about organic growth strategy. Half of Revenue Rocket's business is focused on organic growth strategies for IT Services companies - we've been providing guidance for over 20 years.  We have developed a method for a systematic business transformation bringing critical stakeholders out of the reactive and into the proactive, allowing firms to become top-quartile performers. We do this by...

To each their own when it comes to fees during an M&A transaction. In what we’ve seen for over 20 years at Revenue Rocket, that is how it has always been done. For example, a seller of a business would only pay brokerage, legal, accounting, M&A, or other fees for their own advisors, not the buyer’s as well. This is something to keep in mind if fee fear is a hurdle for you when considering a sale o...

Goodwill is an intangible asset held by a business usually associated with the company’s reputation. There are two types of goodwill that are taken into account as part of a transaction that as a buyer or seller you should recognize and understand. There are differences in the way these types of goodwill are treated.  Personal Goodwill attaches to an individual’s contributions to the business. Cor...

If you’re contemplating the sale of your business there has never been a better time to consider finding the right partner and also the right M&A advisor. Revenue Rocket has been the premier M&A advisory firm for IT Services companies for over 20 years!  Read the blog post mentioned in the Episode: Consolidation is in Full Swing yet People are Selling too Late, Why? You may have built a successful...

We have seen valuations go up for the last several years, but saw an even bigger increase because of the pandemic. COVID-19 created a seller’s market for IT Services companies. The demand for digital transformation work and remote work support went up dramatically in the last year which helped many IT Services firms increase their valuations. As a buyer (or a seller), you need to be competitive. A...

Win-win deals involve compromise and patience but don't do it alone. Revenue Rocket has facilitated hundreds of transactions in over 30 countries for IT Services companies over the last 20 years. From deal origination to close, we can help you through your next M&A transaction. We'd love to learn more about your growth strategy needs: https://revenuerocket.com/contact-us   Listen to Shoot the Moon...

Is it the right time to sell? Should you consider an earnout? Are you selling in or selling out? What are some options for your future role in your business? Listen to the answers of the questions business owners are asking when they come into a position to sell. Revenue Rocket has been helping IT Services business sell their business and acquire other businesses for over 20 years. If it could be...

We often use the term ideal prospect profile , which is something as a buyer or seller you need to understand. Before outreach to a potential seller, decide what attributes are the most important to you when looking at an ideal company to buy. If you are in a position to sell your business, think about the ideal buyer and what the ideal attributes are. Having your idea prospect profile ahead of ti...

The strategic buyer and the financial buyer: how do they differ? In this episode, Mike & Ryan discuss each buyer in detail. A financial buyer is typically one who buys the business to get a reasonable return on their investment quickly. This buyer is driven by certain rates of financial return and may be looking at a portfolio of companies to buy. A strategic buyer is looking to grow through buyin...

Recurring revenue is income generated in a business that comes in regularly, usually monthly, quarterly or yearly allowing a business to provide a service level to a client. Recurring income allows revenue to come in with a high degree of certainty and stability. With a recurring revenue model, businesses can predict what percentage of revenue may be lost each month.  Reoccurring revenue is someth...

Working capital is the liquidity that is needed to run the business to pay your obligations. Some people call it cash flow, but essentially the ability to pay your obligations in your business and how quickly you can turn orders to cash is how we define working capital. Accounts receivable management is important to maintain positive liquidity. Cash is king! Many small businesses don’t have good p...

We have 20 years of experience and over 200 transactions under our belt in IT services M&A. In this episode we want to share our experience with the length of an M&A process and the timeline to getting a deal done. We focus on answering questions about: What happens now that you've decided you want to either buy another firm or sell your firm? For example, you need to look at cultural and financia...

While we specialize in M&A for IT Services firms, we also have been helping these companies grow organically for over 20 years. Our proven specialization, verticalization, and productization (SVP)  method is the key to sustainable growth. Revenue Rocket works with global IT Services leaders to secure their market position, expand in new or adjacent markets, and grow profit long term. One area we a...

Identifying the right people to participate in the process can be harder than it seems. The process needs to be part of a larger strategy the business was executing against and as such the target, process and anticipated outcomes should be widely known and understood by those at the executive level. That said, once the company is in an active process pulling in the right people at the right time c...

You’ve built your business for a long time and now you’re ready to sell it for many different reasons. The process can be lonely, but it’s not a bad thing when you need to continue to run the business and create stakeholder value. So, who should be involved when you start this process? Listen to the episode to get our full run down on the process and employee expectations. During a process it’s ea...

In this episode, we are discussing the fruitful but confusing market conditions in the IT Services sector in the second half of 2020, as the country and world navigate a new normal. While much of the world is struggling with the economic recovery, several sectors are growing as a result of consumer and workforce behavior changes.  At Revenue Rocket we have seen a sharp increase in consolidation am...

Keeping with the theme of providing guidance throughout a process, we felt it would make the most sense to talk you through the emotions that will come with a transaction. During this podcast we will discuss what to expect; before, during and after a transaction. Getting to the emotional state whereby you are ready to sell your business is a rollercoaster of a journey, filled with ups and downs an...

With more than 90% of American businesses operating their fiscal year in line with the calendar year, the fourth quarter almost always brings with it additional goals, complexity, expenses and often earnings but how should you react during an M&A process?  While each situation is different, the process remains the same. Planning and managing against established targets will ensure that Q4 is not p...

As a seller, you need to weigh today's valuation over what the future valuation could be based on contract value and economic forecasts.  While future valuations are likely going to be higher, having the right mix of valuation criteria can ensure that you are getting a fair exit based on a multi-faceted assessment of the business. For example, looking at revenue and bookings vs EBITDA alone can yi...

Forecasting is important to businesses so that they can make informed business decisions that guide them into the future. Forecasting is the guide to grow your business and build predictable outcomes to set long-term strategies. This can be especially important when entering into an M&A deal whether you are the buyer or a seller. Revenue Rocket recommends that all businesses should try to forecast...