VENTURE OPS
Invarium was acquired by Cadence Design Systems. Due diligence process moved quickly and smoothly over the course of 10 weeks. Competitive startup was also being acquired by Cadence at the same time. However, they began their due diligence six months earlier. Because their business operations was not prepared and there was poor recordkeeping, their due diligence was significantly delayed. This delay shortened their cash runway. This competitive startup lost leverage in their negotiations as they were out of cash and settled for the offering price though it was much less than they expected upon entering the due diligence process. Team was unhappy through integration and retention was affected.
Problem: When the business operations is not organized and complete, red flags are raised during the due diligence process further delaying your desired outcome.
Solution: VentureOps will provide a solid business operations and administrative infrastructure at the onset of your business to ensure your due diligence moves as swiftly and smoothly as possible when entering a M&A discussion.
Results: Stronger position for your negotiations for your company's valuation upon an M&A event.