In this episode of the M&A Mastermind podcast, host Nick Olsen interviews Dan Andrews, the managing partner and CEO of Tempus Realty Partners, about sale leasebacks in M&A transactions. They discuss the benefits and considerations of sale leasebacks, the timing and planning involved, and the potential tax advantages. Andrews emphasizes the importance of understanding the real estate involved in a transaction and determining if a sale leaseback is a good fit. He also highlights the limited pool of buyers for sale leasebacks and the need for proper due diligence and financing. Overall, the episode provides valuable insights for M&A advisors and business owners considering sale leasebacks.

Takeaways

• Sale leasebacks should be considered in virtually every M&A transaction involving real estate.
• Timing and planning are crucial for successful sale leasebacks, and it is often best to sell the real estate before selling the business.
• Working with a specialized buyer, such as Tempus Realty Partners, can increase the likelihood of a successful sale leaseback.
• Proper due diligence, including property condition assessments, environmental assessments, and surveys, is essential to mitigate risks.
• Long-term leases with market-rate rent and annual increases of around 3% are typically the most attractive to buyers.
• Sale leasebacks can offer tax advantages, such as 1031 exchanges, if properly planned and executed.

Chapters

00:00 - Introduction and Overview

09:38 - Timing and Planning for Successful Sale Leasebacks

26:49 - The Limited Pool of Buyers for Sale Leasebacks

35:38 - Optimizing Value with Long-Term Leases

Sale leasebacks, M&A transactions, real estate, timing, planning, tax planning, due diligence, financing

Join us for an insightful episode of The M&A Mastermind Podcast featuring Nevin Raj, COO and co-founder of Grata. Nevin delves into the indispensable role of software and intelligence in the M&A realm, shedding light on their significance in deal origination and business development. Learn firsthand why forging meaningful relationships and pinpointing the ideal companies upfront are pivotal for triumph in this competitive landscape.

Discover how AI is revolutionizing the industry, automating research processes, and furnishing invaluable insights to enhance efficiency and effectiveness. Nevin unveils Grata's cutting-edge AI product, ANA, designed to streamline desktop research while offering comprehensive market data and valuations. Don't miss this enlightening discussion, offering key takeaways on the future of M&A and the transformative potential of technology.

Takeaways

• Software and intelligence are crucial in the M&A industry for deal origination and business development.
• Building relationships and finding the right companies upfront is essential for success.
• AI can automate research and provide valuable insights, saving time and improving efficiency.
• Grata's new AI product, ANA, automates desktop research and provides market data and valuations.

M&A, software, intelligence, deal origination, business development, relationships, AI, automation, research, market data, valuations

In this episode of the M&A Mastermind Podcast, Nick Olsen interviews Bobby Lewis, a partner at Business Acquisition and Merger Associates (BAMA), about the challenges and benefits of the buy side of M&A. Bobby shares insights on the importance of being a hunter and having strong sales and marketing skills in the buy side practice. He also emphasizes the need for a dedicated team and efficient tools to be successful in the buy side. Bobby discusses the importance of building relationships with private equity groups and leveraging existing networks to find good buyers. He also highlights the potential for the buy side to benefit the sell side practice by building a rich database of business owners and industry knowledge.

Takeaways

• Being a successful buy side advisor requires strong sales and marketing skills and the ability to be a hunter.
• Having a dedicated team and efficient tools is crucial for success in the buy side practice.
• Building relationships with private equity groups and leveraging existing networks can help find good buyers.
• The buy side can benefit the sell side practice by building a rich database of business owners and industry knowledge.

Chapters

• 00:00 Introduction
• 06:07 The Challenges of the Buy Side
• 13:24 Knowing Your Buy Side Client
• 25:34 Leveraging Relationships with Private Equity Groups
• 31:25 Utilizing the Buy Side to Benefit the Sell Side
• 35:58 Conclusion

M&A, buy side, sell side, business acquisition, private equity, market research, business development, team, tools, relationships