We create long-term relationships with our clients that are not limited to the context of a transaction
Our objectives and values
With significant experience in supporting entrepreneurs, we bring objectivity to transactions and valuations as well as an essential follow-up over time. This enables our customers to focus on their most important role: the operational sustainability of the company.
One of our main objectives is to enable our clients to take a step back on the contemplated transaction.
La Baume Finance's executives are personnally committed into every transaction's execution.
A mutual challenge
The implementation of a new shareholder project naturally goes through phases of uncertainty, or even questioning. In this complex process, it is fundamental that the client and his advisor can challenge each other’s visions:
WHY ?
Our first action is to understand the « Why »; that is, the reason our potential client wishes to go down a specific route. We will only undertake the assignment after understanding, testing and validating his or her objectives.
WHEN ?
The analysis of factors both internal and external to our client's organisation will enable us to define the tactical requirements of the transaction envisaged and to fix a timetable for achieving it.
HOW ?
We explore all possibilities so as to ensure that the chosen path is optimal for attaining our client's objectives.
WE WILL CHALLENGE YOU
Do you know and understand my sector?
What makes you different?
What is your level of expertise and experience?
What are your references?
What resources do you have?
What remuneration structure do you operate?
What networks do you have?
Why do I need to be advised?
Can you operate on an international basis?
Who will be working on my assignment?
What other value-added do you have compared to my other advisors?
Why do you work on an exclusive basis?
What is the length of an assignement?
YOU CHALLENGE US
Our commitments
1.
RESPECT
We are deeply respectful of our clients' entrepreneurial journey. We understand that the processes for which we are responsible, must take place with consideration for the positions of each party. Even in the difficult moments of a negotiation, we must be the guarantors of mutual respect, in order to achieve a balanced transaction.
2.
CONFIDENTIALITY
The members of the team, work in the utmost confidentiality, ensuring that their actions do not have any negative impact on the company's activities, the social climate, or the competitive environment...
3.
DECISION MAKING
Acting systematically in the interest of its clients, the team is mindful not to engage them in ways that would consist in carrying out an operation "at all costs". The decision whether, or not to carry out an operation is always made by the customer. He retains the freedom of choice and assumes the consequences. We will never force his hand.
4.
INDEPENDENCE
La Baume Finance is a fully independent boutique that is committed to avoiding any conflict of interest and to ensuring that the exclusive interests of its clients are represented in discussions between all parties involved.
The entrepreneur's ABC
Afterwards: What will the role and the position of the head of the company be if they sell or lose majority control?
Agenda: Is this a good time to conduct a transaction?
Anticipation: Is the company internally prepared for the planned transaction (organizationally, financially), as well as externally prepared (economic cycle, technology, sector appetite)?
Autonomy: Maintaining financial or management autonomy is not necessarily an end in itself. It very much depends on the strategy of the company and the perspectives of the sector in which it operates, as well as the capacity of the current shareholders to implement this strategy.
Confidentiality: How do you ensure the confidentiality of the transaction?
Control: If it is in line with the company's strategy, how to maintain control when the shareholding is opened up? If not, how to maintain control?
Corporate Heritage: How to take this into account when defining a shareholder strategy?
Culture: What are the cultural and organisational issues (linked to history, to the sector or to geography) that requires focus prior to make a decision with regard to a transaction?
Dilution: What are the real consequences devolving from the creation of additional shares to either a majority or minority shareholder from the standpoints of governance, holdings and tax liability?
Disagreement: How to remove a shareholder when there exists significant disagreement or opposition to the management, functioning and development of the company?
Ego: What is the rational and emotional split in a shareholder strategy decision?
Electronic Dataroom: or VDR, it consists of bringing together in digital format all the information necessary for an accounting, tax, legal, social, technical or even regulatory audit. It is a thankless and painful task that the client must carry out with our support. It should be anticipated and organized taking into account the resulting issues (Confidentiality, price review, GAP, etc.).
Financing: How to structure the financial requirements of a transaction?
International: Does the company have what it takes to become international, without being weakened? How to strengthen the international DNA?
Liquidity: in what way can shareholder liquidity be assured?
Long term viability: What is the impact of a transaction on the long-term viability of the business? Has the impact been taken into account?
Preparation: what are the stages in the preparation of a transaction?
Process: what are the stages of a handover or acquisition ? What is their impact on the running of the organisation and how to limit the effects?
Representation and warranties: Are the shareholders ready to take on this commitment, which is a condition of most transactions?
Risks: What are the risks if the transaction does not complete (for the shareholders and for the company)?
Shareholding structure: Does it underpin the company's strategy in its current form?
To be or not to be: Do I want to sell or buy?
Taxation: What are the tax impacts of the transactions? Do past structuring burden the proposed transaction?
Value: there may be a significant difference between an established valuation (by either purchaser or seller) and the comparable value attributed by the market. This eventuality may influence or trigger reassessment of shareholder strategy