What We Do
We help national and international organizations to meet their challenges. These organizations are under constant pressure to deliver ever-better results while contending with a wide range of risks that can threaten their survival. Multinational companies must also address the additional demands of operating within different legal, financial, political and social systems, and managing complex cross-border issues.
We provide Audit, Tax, and Advisory services, delivering a globally consistent set of multidisciplinary financial and accounting skills and capabilities based on deep industry knowledge.
Our focus on Global Industries helps Greiner-Higgins Associates LLC people to develop a rich understanding of clients' businesses and the insight, skills and resources required to address industry-specific issues and opportunities.
Global capability and consistency are central to the way we work. By providing international organizations with the same quality of service and behavior around the world, we can work with them wherever they choose to operate.
Raising capital is a daunting process. We rarely hear successful entreprenuers tell us how easy or delightful the process was. Yet, hundreds do successfully raise capital. Only about 25% of those investors who show an initial interest in the transaction acutally progress to a detailed compnay due diligence; Only about 10% of these investors initiate a bona fide offer of funds, of which only 25% acutally result in an investment transaction. Given these odds against a successful capital raise, what mitigates the successful capital raise?
The process of the capital raise, whether it is debt or equity, consists of the following key processes:
- Perfecting the business plan, offering memorandum, and other company due diligence materials.
- Developing a comprehensive targetted prospective investor list.
- Contacting this list and responding to investor due diligence.
- Negotiating the investment offer.
You, the client, must understand the time commitment on your part and your advisory firm's part in the capital raise. Most companies seeking financing typically see a time frame from implementation to close and receipt of funds between 9 months and 1 year. It is imperative to budget the time and money resources necessary to implement the effort successfully.
The time element can easily encompass 500 to 1,000 work hours.
Business Plan usually requires a minimum of 200 work hours. This involves the client interviews, business financial reviews, conducting market research to validate the opportunity, development of a comprehensive financial model, determination of the most effect way to layout the business strategy, producing and proofing the business plan. Additionally, the advisory firm must produce the offering memorandum in conjunction with the plan and collate the relevant due diligence materials.
The next stage of developing a targetted prospective investor list. As seen above in the opening paragraph completing the prospective investor/funding list requires, on average, contacting 160 pre-qualified investors.
- We must qualify the audience by deternining the investor's appetite for the particulare transaction under consideration
- Contacting this list requires relationship selling. Investors typically invest in companies introduced through channels they know. It is Trillium's responsibility to develop these relationships with investment firms. We are constantly working with firms to understand their investment criteria in order to present qualified transactions.
- Negotiating the offer can also become a time consuming business. The following steps can give you a sense of the progress to the transaction's funding:
- Introduction, and sending the executive summary, business plan
- First pitch - If you make to this point, you are way ahead of most capital seekers.
- Due Diligence - Are the prospective investors calling your references? What kind of questions are they asking? What additionaly materials, information are they seeking from you? What are their percieved interest levels?
- Full partner pitch - You are now under serious consideration. This is the short list. Make sure you have to have your sponsor give you inforamtion as to their hot buttons or any unresolved issues that need clarafication. Be sure to call back for feedback on how the full partner meeting went; answer any questions, follow-up to close.
- Term Sheet - THIS IS THE PROMISED LAND! This may take days or weeks after the full partner meeting and their decision to move forward.
- Syndication - Depending on the firm, amount of financing, structure, and other variables, there may be another whole process of finding co-investors. This can be trivial or a whole other sales cycle of pitches.
- Closing - This can take as long as a month depending on the details. Time to make sure you understand all the trivial deal points. Remain focused on the goal - CLOSING!