Questions & Answers

Succession Planning

I’d like to keep running my company for the next five years while I train my successor. Is this an option when I sell my company?

Yes, this is an option. We would benefit from your experience and would be happy to discuss your ongoing involvement for continued success.

I have trained a successor and would like to step away from the day-to-day operations of the company. However, I would like to stay active in an advisory capacity. Is this possible?

Yes, we see real value in having relationships with people who have strong operational and industry experience, so there could be opportunities to continue in a strategic role, participate on a strategic advisory board or join the board of directors of some of our portfolio companies.

I’d like to sell my company and take some cash off the table but I’d also like to participate financially in Market Maker Ag going forward. Is there such an opportunity?

Yes, depending on the circumstances, there may be an opportunity to participate in the future financial returns of Market Maker Ag through stock ownership or earn-outs or vendor-take back loans.

I’d like to retire but have no successor to continue running the business. Is Market Maker Ag still interested in buying my company?

If you have made the decision to sell your business, we would be interested in exploring solutions with you. For instance, your company could qualify as a tuck-in and be complementary to an existing company within our portfolio. In this case, then not having a successor is not an issue.

I’d like to sell my business but, after speaking to my tax advisor, I’d like to explore certain structures to minimize my personal taxes. Would Market Maker Ag consider alternative deal structures?

Yes, we would consider different deal structures to accommodate the vendor but also have a fiduciary responsibility to balance the risks and benefits to our investors as well.

I don’t want word to get out that I am selling my business – if the word gets out, it could affect my customers, suppliers and employees. How do I ensure this is respected?

We respect the need for the strictest confidence of a very sensitive process for your business. At the outset, we will execute a non-disclosure agreement with you and promise to maintain the strictest confidence throughout and after the process finishes.

I’m interested in selling my business – if the price is right.

The decision to sell a company that you’ve created and built over the years is a very difficult one – and there are many reasons that such a decision is made including health, estate planning or other interests. Once you’ve made a decision and are committed to sell a majority shareholding in your company, we would be happy to engage in a fair and reasonable process to invest.

I’m interested in selling my company but I’ve spent years building it and I employ a lot of local people in the community. Are you going to slash jobs and close the doors once the deal closes?

We invest in good companies that are well managed. Our intention is to leave the existing management team in place to continue to run the company using the same principles that have been employed to build a successful business over the years.

The historical financial results for my company have been losses but I have a new project that is projected to achieve significant profitability with the right investment. Will Market Maker Ag be interested in investing in my company?

When we are determining the value of a majority shareholding investment, we place a significant emphasis on historical financial results, so these will be a significant factor in assessing the value in such an investment.

What steps are involved in the sale process?

Please refer to process for the general steps involved in a sale process.

What kind of information do I need to disclose to start the sale process?

Please refer to the section on process for the initial information requirements to initiate the investment process.

How long does the sale process take?

Please refer to the section on process for a typical timeline for investment process.

Do you engage in hostile or unfriendly takeovers?

No. Our success is dependent on working with owner/operators who have made the decision to sell their companies and are looking for investors who will be fair and also maintain the integrity of the companies they have built.

Does Market Maker Ag deal work with brokers?

Yes, we are willing to hear from brokers representing companies for sale, assuming the company meet the business attributes as outlined here.

Growth capital

Is there still a way that Market Maker Ag can help me grow my business without me selling a stake in my business?

Yes, we could acquire a supplier, customer, competitor or partner that is for sale. While we would hold a controlling interest in the acquired company, your existing business would manage that company under contract, and could also hold a minority interest in that company. Essentially, you would finance the acquisition through Market Maker Ag and gain control of product supply, manufacturing, distribution or market share without ceding control of your existing business.

Does Market Maker Ag invest in new ventures?

No, our mandate is to partner with owner/operators to build a portfolio of mature, established businesses with existing customers, revenues, a history of profitability and positive cash flow from operations..

Does Market Maker Ag only make majority shareholding investments in a company?

At this time, we only make majority investments in companies primarily because of the need to optimize capital and cash flow between the portfolio companies.

Does Market Maker Ag loan money to companies?

We only lend to companies in our existing portfolio.

Does Market Maker make minority shareholding investments in companies?

At this time, we only make majority investments in companies while we build the portfolio of companies.