If you have a large business or corporation, an investment bank, business broker, or M&A advisor is either something you have worked with before or will be working with down the road. Investment banks are there to provide the advice and management needed for large complex transactions. This gives clients the ability to make smart next moves within their business. However, there are times when working with a business broker or M&A advisor is not enough, and if that is the case, businesses will look to a full-service investment bank.
A full-service investment bank can bring more options and services than a business broker or M&A advisor and can help businesses continue on the road to growth or give the owner the resources needed to sell or exit successfully. Depending on your company’s needs can depend on your choice to pick a full-service investment bank.
A Full-Service Investment Bank
While brokers and advisors have the resources to provide services that help clients expand their businesses, full-service investment banks offer even more. Full-service investment banks offer clients underwriting, full-service mergers and acquisitions (M&A) services, equity research, initial public offerings (IPO), capital raising services, and corporate asset management.
Services can also help in securities sales, stocks, and assistance with other investment types through sovereign entities, corporate clients, or high-net-worth individuals. A full-service investment bank provides assistance with leveraging finances, asset handling, debt capital, sales and trade, and corporate restructuring. Whatever your company might need, a full-service investment bank can provide the resources you need to excel in that process.
What Do They Tackle?
Full-service investment banks tackle many responsibilities within your business, starting with underwriting. Underwriting involves selling stocks and bonds to help the business raise capital. It requires planning, assessing timing and demand, and is a very involved process, and full-service investment banks are there at every step to positively market their clients.
They can also provide robust services such as corporate strategic advisory. This is a fancy title for maximizing the value of the business by pushing owners to focus on the KPIs and financial metrics that drive their sales and profit, along with getting the company’s strategy and management structure to best align with those objectives and core values.
One of the most significant jobs of a full-service investment bank is its input on mergers and acquisitions. They have the network and relationships to help find, evaluate, and acquire other businesses or help understand the soon-to-be on-sale business market. The bank is the negotiator for its business. They will provide the strategy, planning, valuing, negotiating, due diligence, and implementation to ensure the business gets what they deserve, including if a client is looking to sell to a family member, business partner, or employees or structuring employee stock ownership plans (ESOP).
Other Options To Keep In Mind
While there are many reasons that a full-service investment bank can help your business succeed, depending on the size of your business and your needs, a business broker or M&A Advisor may be an appropriate option.
Working with a business broker can be similar to putting up a house for sale. Brokers work closely with businesses that sell to individual buyers rather than large corporations. Many times this entails small service businesses and one-location restaurants. Ultimately, the business broker will help you sell your business, but the seller will be responsible for ensuring the business is ready to sell.
An M&A is similar to an investment bank; however, the size of the business they work with might differ. M&As offer a bridge between companies sold by brokers and medium to large businesses that investment banks might take on. However, an M&A might not have the resources or licenses to take on more complicated deals.
An investment bank can close the gap for larger businesses and those looking for assistance and support when buying or selling in complex transactions. Investment banks provide various professionals who can provide the expertise, licensing, and certifications needed to create a great buying and selling experience. Full-service investment banks, such as ReVera Capital, use their expertise for small to large businesses to ensure every business gets the help they need for a successful sale.
If you are in the process of buying or selling and are looking for the expertise to get you there successfully, reach out to the team at ReVera Capital.