The primary objective was to secure a new owner with the resources and infrastructure to create step change growth in the business. Candidly, it would also need a highly effective and talented leadership team to get the business into profit.
However, the company having instructed a sale, shortly after it changed its strategy and decided, under its own steam to pursue a potential lead with a US Venture Capital firm and keep their business and grow it from there.
Unfortunately, after six months they failed in their quest for funding and failed to secure an investor. One buyer is no buyer, we find from experience.
At this point, the seller returned back and the project for sale in the UK was resumed and sell it as a going concern.
Regrettably, the six months distraction with a VC in the States, meant that they had taken their eye off the ball in running the company. So, it was now a company with declining sales and ever tightening cashflow. However, we were confident that a strategic purchaser could be found. Someone who saw the true value of the developed technology going forward.
