Article 1

A Guide to Earnouts – The Benefits and Pitfalls

“Earnouts are a well-established element of deal structuring which enable buyers to manage risk whilst offering sellers the opportunity to maximise the price they receive for their business.”

Article 2

Acquiring a Recruitment Business – What are the Options?

“This paper is aimed at demystifying acquisitions to help you consider whether an acquisition strategy could be beneficial for your business.”

Article 3

Funding an Expanding Recruitment Business

“Some business owners have an aversion to debt and have a strong preference to raise finance in exchange for equity, preferring not to have the mental and financial burden of borrowings, whereas others jealously guard equity and prefer to fund expansion using debt, seeking to maximise their ownership.”

Article 4

How Recruitment Businesses are Valued

“The key question is what multiple to use. Every business is different and there is no scientific method of determining a suitable multiple. A business has different values to different people depending upon the value they can derive from it.”

Article 5

Maximising the Value of a Recruitment Business

“In general terms, size matters……valuation correlates inversely with risk.”

Article 6

Selling a Recruitment Business

“As business owners generally aim to build the best business possible, this brief focuses on how to achieve that from an acquirer’s perspective. There is no ‘perfect’ model of what an acquirer will look for…”

Article 7

The Biggest Obstacles to Selling a Recruitment Business

“It is rare that a business is ideally positioned for sale by chance, so value can be lost if suitable preparations are not made. In more extreme cases, a business might not be saleable at all.”