Investor & searcher split due diligence cost

Member resources:

Frequent asked questions:

What is Searchfunder.com?

Searchfunder.com is an online community of searchers, investors, lenders, brokers and other professionals. Over 80% of those involved in searchfunds maintain a Searchfunder account to help them network, hire, and mentor others.

What are the benefits of membership?

In addition to accessing the most active online network of business buyers, Searchfunder licenses research that is simply not cost effective for individuals. Access over 15,000 industry reports and 50,000 transaction financials. You also get monthly credits for contact information for your company sourcing campaign with the option to purchase more at drastically discounted rates. Searchfunder has pre-purchased access from these data providers in order to empower individual buyers and to help searchers level the playing field versus private equity.

Do you have deals?

While we are primarily a buy-side network, we do have hundreds of brokers that regularly post deals to the community.

Can I find an internship on Searchfunder?

Absolutely! We have the industry's largest intern job board. If you are considering a search, the first step is to help another business buyer so you can hit the ground running.

What does it cost?

Searchfunder is a subscription service. We offer flexible monthly, annual and lifetime memberships.

Monthly

$79 / month

Annual

$19 / month

Lifetime

$432 / once

Those who maintain an account with us for over 4 continuous years are permanently added to the community without the need for a membership.

Do I need an MBA to join?

While a large number of our members come from dedicated programs at Harvard Business School, Stanford GSB, Chicago Booth, and other top programs, searching is no longer reserved for the elite. With the current abundance of dry powder in private equity, and an increasing number of business owners reaching retirement age, good deals rarely go unfunded.

Post a question, deal, job, etc...

Make a post...

Complete registration to post.

by a searcher from Western Michigan University - Haworth College of Business
in Novi, MI, USA

1yr ago

Investor & searcher split due diligence cost

Has anyone closed a deal with an investor in a hybrid type structure between self funded & traditional, particularly with some of the due diligence cost being covered by the investor?

Myself and a few of my searcher friends are seeing a few deals ($1.5MM+ ebita) where this might be interesting. Would be great to connect with any searchers or investors

0 Likes

248 Views

reply by a searcher 1yr ago
in Cambridge, UK

Often your professional advisors will agree to be paid from the company post-acquisition. The sticky part is what happens if a deal falls over just before the finish line after costs have been incurred. In this case they will sometimes agree to roll the fees into your next deal, but this needs to be discussed before you engage with them.

Investors can put their mind at ease if they are reputable and have done with with the DD providers before. Again, something to talk with your investors about.

reply by a searcher 1yr ago
from INSEAD in London, UK

You can try to ask investors to backstop some of the deal fees once equity term sheets have been signed but I think this is very deal dependent.