Our Services
Corporate Finance
Introduction
Perlinski & Associates works with private small to middle-market businesses to originate, structure, and place the capital necessary to advance their strategic and financial objectives. Our goal is to create an ideal capital structure tailored to meet the specific needs and objectives of each client. We handle all facets of a company's capitalization to optimize flexibility, pricing and structure, and understand that capital must facilitate, rather than drive, business decisions.
All engagements are client customized to create focused, cost-effective solutions for our clients. Strategic or financial planning advice can address both quantitative or qualitative issues. We work with our clients throughout all steps of the process, including sourcing, negotiating terms, advising on documentation and integrating any new financing with the existing capital structure.
Raising debt or equity capital is a complex task. Increasingly, capital is available from non-traditional sources or in more complicated configurations. With the multiple and varied options for raising capital, the time and expertise required increases. The principals of Perlinski & Associates bring the ability to develop the most appropriate funding structure and work with the client’s executive team throughout the process, allowing the executive team to maintain focus on its daily business.
Our debt and equity expertise provides private capital for expansion, recapitalization/shareholder liquidity events, management and leveraged buyouts, acquisitions and debt refinancing through high-quality institutional, financial and strategic investors. We have the experience, methodology and investor relationships to develop privately placed capital solutions that are beneficial to both the client and potential investors.
Target clients include companies that have a strong management team and a revenue stream or that have strong intellectual prosperity and disruptive technology. Our preferred transaction size is from a minimum of $2 million to $50 million.
Our services and resources provide the four fundamentals your company needs to raise capital from investors:
Proper Transaction Structure: To accomplish our objective of completing each private placement under the most optimal terms and conditions for our clients, we use our insight and knowledge of the market, client and potential investors to balance the many factors involved in a transaction. These factors include acceptable amounts of financing, competitive pricing, flexible structure and a complementary relationship between the client and the funding source.
Investment Documentation: raising capital, whether debt or equity, requires very specific documentation that far surpasses what a business plan provides. It is imperative that a company seeking capital from investors have in place a Private Placement Memorandum, a Subscription Agreement and Investor Questionnaire, and in debt offerings a Promissory Note Agreement. Other documents, filings and notices may also be required depending on the nature and structure of the offering.
Targeted Investor Resources and Marketing Approach: Perlinski & Associates has access to a variety of funding sources from private accredited investors to corporate venture capital groups to institutional investors.
We act as an intermediary in positioning, structuring and negotiating corporate financings.
Our fees generally include a monthly retainer, success fees payable at the closing of the transaction and warrants.
Mergers & Acquisitions
Perlinski & Associates provides Merger and Acquisition (M&A) advice to small and middle market companies. We represent businesses for sale, divestiture of assets, as well as companies seeking acquisitions. We are retained to maximize value, manage the complex M&A process and achieve shareholder objectives. In every engagement, the principals of our firm work closely with the shareholders of the client to represent their interests in the most professional, confidential and ethical manner. Our firm’s approach offers speed, confidentiality, focus and minimal disruption to the business.
Sellers
The scope and nature of sell-side engagements vary depending on the objectives of the business owner. Helping these owners realize their objectives from the sale of their company is a complex process that requires specialized skills, a consistent and methodical approach and solid judgment.
Perlinski & Associates is equipped to provide advice in a wide variety of engagements, ranging from full scale representation to special assignments in which our firm may be retained to prepare materials and negotiate a specific transaction with a previously identified buyer or investor. In the case where a seller has already identified a buyer and may have even agreed on some basic transaction terms, the seller will greatly benefit from the services provided by Perlinski & Associates. Our professional objectivity will help the seller to avoid many potential pitfalls in the transaction process, including due diligence, negotiation and documentation. Additionally, Perlinski & Associates may expand, if necessary, the potential list of buyers as a strong motivator to complete a transaction expeditiously.
Buyers
Perlinski & Associates also represents corporate and private investors in businesses acquisitions. These engagements may be targeted or they may be general searches. Our firm helps U.S. and international corporations, private investor groups and others locate and acquire private middle-market businesses that match specific acquisition objectives. Using our knowledge and resources, we can identify potential targets that are not currently in the market, allowing buyers to pursue those businesses that most closely match their desired objectives.
We work with our clients in the following areas: formulating the acquisition criteria and target profile, identifying primary targets and initiating contact, assisting with the due diligence process, negotiating the terms of the transaction, and if appropriate, assisting with acquisition financing.
Our fees consist of an initial retainer and a success fee at the closing of the transaction.
V.A.S.T (Valuation Advisory Services & Techniques)
What is the value of your business today?
Is maximizing shareholder value a top priority in your company?
How do you measure “shareholder value”?
Is management compensation linked to the creation of shareholder value?
Our Valuation Advisory services and techniques provide key financial performance measures that capture the true economic profit of a public or private enterprise.
Our methodology lays out the steps for measuring and managing value creation; helping investors, executives and their advisors to determine the best strategy in enhancing both market value and strategic value while maximizing return on investment.
Many middle-market companies are closely held. These privately held companies are also motivated to enhance shareholder value and rely on internally generated funds or depth of private equity sources to fuel or support growth.
While VAST is no substitute for a sound business strategy, it can be used to evaluate and identify the best strategy and, more importantly, to support strategic execution and operational excellence.
In M&A transactions; buyers, sellers and their advisors often find it difficult to value a business, resulting in unrealistic expectations and frustration. Usually, there is frustration by the other side or “unrealistic” expectations. Using our VAST methodology and process; owners and managers can determine their company’s value, what the drivers of such value are and how to enhance that value in both M&A and through the implementation of a sound operational and financial strategy.
Our process helps our clients develop a management system that establishes clear, accountable links between strategic thinking, budgeting and capital planning, operating decisions, incentive compensation, and increased owner and shareholder wealth. The power of such a system rests on the fact that it creates commonality across processes, ultimately leading to employees who think and act like owners.
Core Principles
Integrity
This is one fundamental principle that is at the essence of the Perlinski & Associates philosophy and this principle guides all of our activities. For our clients, this means that they should expect our advice and work to be in their best interest; we treat each client’s business as if it were our own. For our Investment Partners, this means brining them vetted and valuable opportunities and communicating with them frequently and with complete transparency.
Domain Expertise
Our principals have many decades of hands-on experience in several industry verticals. Each of our principals monitors the salient transactions, capital markets trends, and other valuation drivers in relevant sectors.
Trusted Advice
Technical proficiency and domain knowledge are important. But it is our principals’ ability to combine a comprehensive understanding of industry dynamics with a superior command of the intricacies of transaction execution that makes a difference. We leverage our Firm’s knowledge base and network of relationships to optimize the outcome for our clients.
Senior, Hands-on Involvement
One of our principals is always involved and responsible for each of our clients. This is not always the case with other banks, which, by virtue of their high infrastructure costs, are often unable to assign senior executives to smaller clients. Our business model is predicated on senior involvement in every deal, large and small. There are no exceptions.
Focused execution
Our team is creative and focused on the outcome of a transaction that provides the best results for our clients. We are disciplined and follow best practices and methodologies that provide the foundation for our consistent and disciplined approach in working with our clients. We actively define and measure the various elements required to achieve a successful closing or engagement.