There are two crucial steps to achieving this:
- Discovering what your customers need that you can’t offer
- Finding the right company to provide this
The ‘right’ company in this instance isn’t just the best fit for your customers. More importantly, it’s the best fit for you and your business practices on a personal and professional level. It’s this that makes the process for finding a partner for merger so difficult.
The perfect merger
Davis offered financial planning services to his clients, while Graves had offered business valuation services for quite some time. They shared clients for decades and ultimately discovered that these services were exactly what their respective clients needed.
The advantages of a merger became clear as day. The pair now operate together in Gresham, Oregon with a third partner Steve Stegeman, CPA/CGMA.
Davis explained that, because most of his clients were small, a lot of their net worth is wrapped up in their business, so many show a lot of concern about their exit strategy. Following the merger, he’s now in a position to help them.
Managing the hurdles
There always be hurdles to clear when navigating a merger in order to keep both clients and existing staff satisfied.
The new structure of a company might mean certain people have to change positions, while it’s inevitable that business processes may change slightly as well. The challenge is to create as much continuity as possible so that existing clients who were happy with the existing process don’t become disgruntled and leave.
A good personal relationship between the merging owners is key to agreeing on the best way to solve these challenges. Davis and Graves attribute a large part of their firm’s success to this.
How to plan your dream merger
Judging by their continued growth, it would appear as if they’re clients are much happier too.
“It’s like the analogy that it’s one thing to be the engineer who builds the rocket but it’s another to be the astronaut who flies in it. We know what challenges our clients are facing because we’ve been through them,” Davis said.
He claimed that the ultimate goal is to take care of their clients. Being able to answer all their questions, whether it directly relates to your business or not, is a great way to keep clients delighted with your service.
So the question is: what questions do your clients typically have that you can’t answer? Where do you send them - and is there a merger opportunity there?
Once you understand that, the task of finding the business to provide that can be launched.
Succession Link was created to help you complete this process with confidence. We have created an easy-to-use database of suitable professionals looking for companies to merge their business.
Our platform makes it easy to search and communicate with potential business partner - plus we provide customer service on multiple platforms that holds your hand throughout the whole process. Click the link to learn more about how Succession Link works.