episode 

How to Cultivate Relationships with Deal Targets

Michael Frankel

Bruce Bowden

Relationships with deal targets are extremely important as they can help shape the entire deal process. Learn how you can form those relationships and avoid common pitfalls along the way to increase your chances of getting the deal done.

Jeff Desroches
VP of Corporate Development at Atlas Copco
Ivan Golubic
Former VP Corporate Development at Goodyear
Erik Levy
Group Head Corp Dev and M&A at DMGT PLC
Kison Patel
CEO at DealRoom

How to Cultivate Relationships with Deal Targets

11 Aug
with 
Michael Frankel
Bruce Bowden
Or Listen On:

How to Cultivate Relationships with Deal Targets

How to Cultivate Relationships with Deal Targets

Fostering Relationships with the targets

You can’t invest infinite effort in building relationships with every player in the market. You have to get fairly specific and know the top 10 to 15 companies that are your most likely targets where it's worth the investment to build the relationship. The earlier you form a relationship, the further back you want to go, the better for the deal. 

The benefit also goes both ways. The seller will see how you treat employees, what will you do to their business, trust is a very important issue when it comes to selling your business to someone else. 

“Relationships with potential targets drives everything from better diligence, better integration, easier negotiations, to a higher likelihood of getting the deal done.” - Michael Frankel

BIggest mistakes

There are 3 biggest mistakes when cultivating a relationship with a seller:

  1. Building relationships with non-decision makers. It’s an enormous waste of time. 
  2. Showing off too much during the dating process. If you pissed the target off, you are never going to get that deal done. 
  3. Falling in love. This gives you blinders and tunnel vision that you will not be able to see if another competitor has eclipsed them in the market. The worst is when you self perpetuate the idea that they must be the right target because you've invested so much time with them.


special guests

Michael Frankel
SVP, Managing Director at Deloitte
Bruce Bowden
CFO of Interactions LLC

special guests

Michael Frankel
SVP, Managing Director at Deloitte
Bruce Bowden
CFO of Interactions LLC

Hosted by

Kison Patel
episode 

Episode Transcript

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