Artwork

Talking Pest Management에서 제공하는 콘텐츠입니다. 에피소드, 그래픽, 팟캐스트 설명을 포함한 모든 팟캐스트 콘텐츠는 Talking Pest Management 또는 해당 팟캐스트 플랫폼 파트너가 직접 업로드하고 제공합니다. 누군가가 귀하의 허락 없이 귀하의 저작물을 사용하고 있다고 생각되는 경우 여기에 설명된 절차를 따르실 수 있습니다 https://ko.player.fm/legal.
Player FM -팟 캐스트 앱
Player FM 앱으로 오프라인으로 전환하세요!

Insights from the world's leading M&A Company in the Pest Control Industry with Paul Giannamore

23:20
 
공유
 

Manage episode 311667799 series 3164434
Talking Pest Management에서 제공하는 콘텐츠입니다. 에피소드, 그래픽, 팟캐스트 설명을 포함한 모든 팟캐스트 콘텐츠는 Talking Pest Management 또는 해당 팟캐스트 플랫폼 파트너가 직접 업로드하고 제공합니다. 누군가가 귀하의 허락 없이 귀하의 저작물을 사용하고 있다고 생각되는 경우 여기에 설명된 절차를 따르실 수 있습니다 https://ko.player.fm/legal.

Mergers and Acquisitions (M&A) in the Pest Control Industry This week’s interview is essential listening for all those interested in what’s happening in the global pest control company mergers and acquisitions (M&A) market, especially if you yourself are contemplating the sale of your own business. So, settle down and listen to what Paul Giannamore, the managing director of the Potomac Company (www.PotomacPest.com), has to say. With offices in Geneva, Switzerland and Philadelphia, USA, the Potomac Company specialises in global mergers and acquisitions, with special expertise in the pest control sector. Paul first explains that the reasons why an owner wants to sell their business varies greatly, and interestingly, has changed over time. Traditionally the sale of what are mainly family businesses often came about as a result of a family death or divorce, with the average age of the seller being 70-80 years old. Now sellers are around the 40-50 year mark and are aiming to cash-in on their investment, often then going on to start a second career. Over the last few years, pest control businesses have experienced asset price inflation – from traditionally five to eight times cash flow, to now 15 to 20 times. Amazingly, these businesses have increased in value by 300% in the last five years. 2019 was in fact the highest year on record for spend on servicing company acquisitions – an estimated $1.5 billion (1.3 billion Euros) – double that of 2018. However, with the arrival of the coronavirus pandemic, the market this year is only 10% of 2019. But... Paul anticipates the market to return with force in Q4 and into 2021, with valuations remaining high. So, no better time to sell. But how to do it? For those contemplating selling-up, Paul recommends taking on the services of an advisor. He notes how those companies making acquisitions are getting a much better deal in Europe than in the US. Staggeringly, transaction multiples in Europe are only two-thirds of what they are in the USA. As to what a company is worth, factors such as client base, geographic coverage, proportion of recurring contracts e.g. commercial accounts, resilience demonstrated during the Covid-19 crisis are significant factors, in addition to profitability. But listen to what else he says.... Paul stresses that if listeners take home one single message it would be, not to simply have casual conversations with a few potential purchasers – put together your sales materials, contact at least three or four potential acquirers and run a formal competitive process. Make them work for the acquisition. As for the future, Paul views the largest business opportunity is making the industry more technologically focussed. Whilst people still remain key, there is increasing scope for enhanced data management and the use of remote technology, especially as the regulatory agencies continue to search for reduced biocide use. Paul Giannamore can be contacted at paul@potomaccompany.com

Subscribe to our channel to stay up-to-date on the latest insights on the pest management industry.

For more breaking news, white papers, videos and more: www.futura-germany.com

Follow us on social media: LinkedIn: @futuragermany

Instagram: @futuragermany F

acebook: @futuragermany

If you want to be part of Talking Pest Management email us at info@futura-germany.com and join the conversation @ Futura Germany

Futura Germany Podcast Listen on Spotify: https://spoti.fi/2KPaC4u

Listen on Apple Podcasts: https://apple.co/2xmJqkZ

Or on every other platform: @Talking Pest Management

  continue reading

51 에피소드

Artwork
icon공유
 
Manage episode 311667799 series 3164434
Talking Pest Management에서 제공하는 콘텐츠입니다. 에피소드, 그래픽, 팟캐스트 설명을 포함한 모든 팟캐스트 콘텐츠는 Talking Pest Management 또는 해당 팟캐스트 플랫폼 파트너가 직접 업로드하고 제공합니다. 누군가가 귀하의 허락 없이 귀하의 저작물을 사용하고 있다고 생각되는 경우 여기에 설명된 절차를 따르실 수 있습니다 https://ko.player.fm/legal.

Mergers and Acquisitions (M&A) in the Pest Control Industry This week’s interview is essential listening for all those interested in what’s happening in the global pest control company mergers and acquisitions (M&A) market, especially if you yourself are contemplating the sale of your own business. So, settle down and listen to what Paul Giannamore, the managing director of the Potomac Company (www.PotomacPest.com), has to say. With offices in Geneva, Switzerland and Philadelphia, USA, the Potomac Company specialises in global mergers and acquisitions, with special expertise in the pest control sector. Paul first explains that the reasons why an owner wants to sell their business varies greatly, and interestingly, has changed over time. Traditionally the sale of what are mainly family businesses often came about as a result of a family death or divorce, with the average age of the seller being 70-80 years old. Now sellers are around the 40-50 year mark and are aiming to cash-in on their investment, often then going on to start a second career. Over the last few years, pest control businesses have experienced asset price inflation – from traditionally five to eight times cash flow, to now 15 to 20 times. Amazingly, these businesses have increased in value by 300% in the last five years. 2019 was in fact the highest year on record for spend on servicing company acquisitions – an estimated $1.5 billion (1.3 billion Euros) – double that of 2018. However, with the arrival of the coronavirus pandemic, the market this year is only 10% of 2019. But... Paul anticipates the market to return with force in Q4 and into 2021, with valuations remaining high. So, no better time to sell. But how to do it? For those contemplating selling-up, Paul recommends taking on the services of an advisor. He notes how those companies making acquisitions are getting a much better deal in Europe than in the US. Staggeringly, transaction multiples in Europe are only two-thirds of what they are in the USA. As to what a company is worth, factors such as client base, geographic coverage, proportion of recurring contracts e.g. commercial accounts, resilience demonstrated during the Covid-19 crisis are significant factors, in addition to profitability. But listen to what else he says.... Paul stresses that if listeners take home one single message it would be, not to simply have casual conversations with a few potential purchasers – put together your sales materials, contact at least three or four potential acquirers and run a formal competitive process. Make them work for the acquisition. As for the future, Paul views the largest business opportunity is making the industry more technologically focussed. Whilst people still remain key, there is increasing scope for enhanced data management and the use of remote technology, especially as the regulatory agencies continue to search for reduced biocide use. Paul Giannamore can be contacted at paul@potomaccompany.com

Subscribe to our channel to stay up-to-date on the latest insights on the pest management industry.

For more breaking news, white papers, videos and more: www.futura-germany.com

Follow us on social media: LinkedIn: @futuragermany

Instagram: @futuragermany F

acebook: @futuragermany

If you want to be part of Talking Pest Management email us at info@futura-germany.com and join the conversation @ Futura Germany

Futura Germany Podcast Listen on Spotify: https://spoti.fi/2KPaC4u

Listen on Apple Podcasts: https://apple.co/2xmJqkZ

Or on every other platform: @Talking Pest Management

  continue reading

51 에피소드

모든 에피소드

×
 
Loading …

플레이어 FM에 오신것을 환영합니다!

플레이어 FM은 웹에서 고품질 팟캐스트를 검색하여 지금 바로 즐길 수 있도록 합니다. 최고의 팟캐스트 앱이며 Android, iPhone 및 웹에서도 작동합니다. 장치 간 구독 동기화를 위해 가입하세요.

 

빠른 참조 가이드