If you are wondering what types of potential buyers there are for tech companies, we’ll discuss some possibilities. Sometimes we are asked whether Apple, Microsoft, Google, or IBM would be interested in buying a potential seller’s tech company. Although it is possible, it is much more likely that another company will be the acquirer of your tech company. The large tech acquisitions make all of the headlines, but there are a lot of other potential buyers for Software and IT Services companies. To get the household name companies interested in buying your tech company, it usually needs to be very large or have a technology that these potential buyers are specifically interested in.
We sell technology companies with annual revenues of $700,000 to $40Million, and the most likely buyers are companies that may not be household names. These companies can include other software or IT Services firms, private equity groups, or wealthy entrepreneurs. The good news is that we have built up a massive database of these types of buyers. We have a database of over 40,000 potential buyers. We have over 70 potential buyers that sign NDA’s and request more information on most of our technology assignments. Typically, we have multiple bids and can negotiate the best price and terms for our clients.
Having multiple offers doesn’t mean that there isn’t some give and take with the buyers. A seller needs to have expectations that are in line with the market value for their business. We will, however, maximize the value of your business by looking for companies that can leverage the technology that you have to broaden the scope of your customers and leverage the talent of your employees. This may be another technology company; however, it could be a private equity firm that already has another tech company that could benefit from the unique gifts that your company has. Also, a wealthy entrepreneur may have the exact skill set and contacts to bring your company to the next level. Or it could be Google that buys your software company. We just don’t want to count on the big boys like Microsoft to buy your tech company because our experience says it’s probably likely to be a company you never heard of that purchases your software company.
Most of our sales involve selling the whole company, but there are multiple ways in which an owner could benefit from having the right fit with a potential buyer in addition to just the sale price. Some potential earn-outs and bonuses can be received if certain targets are met following the sale. Some sellers may want to sell part of the business and welcome the opportunity to increase the value of the equity they retain. Other sellers want to cash out altogether and retire. We will work with you to see what your goals are and help you to find the right buyer to meet these goals.
When we take on an assignment, we will start working right away to position your technology company correctly to attract the right buyers and figure out which ones are the most qualified and interested. From there, we will introduce the best ones to you so that you can make sure that it is someone you feel comfortable with.
We have advisers based in TX, PA, LA, NY, NJ, CT, & MA and sell companies throughout the United States. We have won multiple awards and look forward to hearing from you. Contact us at info@synergybb.com, fill out and submit our easy online form or give us a call at 888-750-5950, and we’ll set up a private, confidential consultation.