Acquirers
topic on 7 shows · 12 statements across 10 episodes
Founder's Journal 
Startups For the Rest of Us 
the Neon Show 
A Product Market Fit Show 
Top Founders 
How I Built This 
20VC
12 statements about Acquirers, every show
Van Gaal: Strategic acquirers sometimes pay premiums for customer concentration
“And there's advantages to you know, customer concentration as well, like, you can create synergies, some, sometimes an acquirer will pay a premium to have Revenue from one specific customer because they want that individual as a customer and it blends well int…”
Fisher: Tech acquirers evaluate startup burn relative to EPS impact
“Acquirers don't want to buy ongoing losses, so you have to have a manageable burn, and of course, that the various ways of looking at that, but it's typically as a percentage of the acquirers EPS how much they can absorb, how many kind of losses they can absor…”
Rayapati: Acquirers backload deal payouts to route money away from investors
“Generally what acquirers will do is they try to structure the deal in a way that The initial payout is not very high so that, you know, the founders can actually take most of the money after six months or a year, right? Instead of you giving that money to the …”
Jeff Mains: Price Cutting Sparks a Downward Spiral That Devalues SaaS Companies
“Because lower prices mean lower margins. Lower margins mean you have less to invest in differentiation. Weaker differentiation creates a spiral, and as competition heats up, then margins get lower, and it becomes more of a race to the bottom, and business is d…”
Sikand: Best exit strategy is turning ideal acquirers into customers first
“In my opinion, the best thing you can do to position your company for an exit is to turn your ideal acquirer into your customer somehow, or a stakeholder in some sense.”
Sikand: Buyers lose urgency if founders appear desperate to sell
“If companies sense that you are desperate or you're actually very for an acquisition, the urgency is, is less there.”
Hauser: Maximize acquisition value by leaving unoptimized growth for the buyer
“Leave some meat on the bone. If you want to get the most value for the company, you don't want to have optimized the shit out of everything, right? Because then the acquirer is like, well, I can't really do much with it. And the only acquirers that are left th…”
Answering an acquirer's price expectation question is a negotiation mistake
“In fact, I think answering it is usually a mistake.”
Acquirers are typically between five and 20 times the target's size
“Simply put, the five to 20 rule means that a company that's going to acquire your business is likely going to be between five and 20 times the size of your company.”
M&A deals fail when acquirers apply rigid, one-size-fits-all integration models
“I do think the reason that a number of acquisitions fail with other acquirers is taking a one size fits all type of approach.”
Corporate acquirers always promise operations won't change, but everything changes
“Even though they always tell you that everything's gonna stay the same, but everything changes, and I didn't want my life to change.”