Generating Competition Among Buyers Increases Selling Price

The Challenge 
The Company was a regional leader in secure document storage and data backup. While profitable, the Company was confronted by increasing competitive pressures from national competitors, and by limited capital for expansion, which restricted its growth opportunities.  These national companies were increasing market share through acquisitions.  The owners of the Company received an unsolicited acquisition proposal from one of those competitors. 

True North’s Role
Working with a principal of True North, additional potential acquirers were identified and contacted, and multiple offers were negotiated, compelling the initial offeror to increase significantly its proposal.  Employees of the selling Company received job offers, while the entrepreneur received cash, stock options in the acquirer, and a long-term employment agreement.