Daniel Elliott

Why Buying Your First Business is the hardest & Financing The Fear is Being seen as too risky by lenders and investors. The Solution: Prepare a solid business plan with detailed financial projections. Work with a financial advisor to enhance your credibility. Consider alternative financing options like SBA loans or seller financing.

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We need pharmaceuticals controlled by state regulations and out of the lobbies' grip in Washington DC. Shifting control of pharmaceuticals from federal oversight to state regulation and reducing lobbyist influence in Washington could indeed address many issues, such as drug pricing and access. The influence of pharmaceutical lobbyists in shaping policy has long been criticized, as these companies have often prioritized profits over public health, resulting in skyrocketing drug prices and limited access to necessary medications for many Americans. A more effective economic development authority that employs locals with community first and lobbyists not invited and draining money for middle man money changers. Moving to a state-controlled regulatory framework for pharmaceuticals could mean that states set their standards for drug pricing, approval, and distribution. This decentralization might encourage competition, drive down costs, and foster innovation as states try different models. Additionally, it could increase transparency by allowing for more localized and responsive systems, potentially holding pharmaceutical companies more accountable.

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Thanks, Axial, for your findings. I'd rank the Management Team high in the business description. As investors, we are buying their core competencies, track record, market position, and strategic fit. #privateequity #buyout #independentsponsor #growthequity #food #beverage #CPG #healthwellness

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The Dark Side of Capital Raising: A Wake-Up Call for the Unwary Let's cut through the noise and get to the heart of a cancer that's metastasizing in our industry: the schilling of subpar deals. It's a game that will not only crush your spirit but will ultimately exile you from the inner circles of legitimate real estate investing. Mark my words. Here's the playbook, and it's as predictable as it is pernicious: A so-called "rockstar" GP - often a greenhorn or someone with more bravado than experience - recruits an eager beaver to raise capital. This poor soul, blinded by the allure of quick success, proceeds to burn through their Rolodex faster than a California wildfire. But here's the kicker: These GPs couldn't care less about your network. They're playing a numbers game, and your contacts are just collateral damage. You may or may not have a background in the industry, but you ignore the warning signs because you want it to work desperately. The deals? Mediocre at best, toxic at worst. They're cobbled together with legal documents that wouldn't pass muster in a first-year law class, let alone withstand serious scrutiny.   There's no solid revenue plan, no coherent business strategy - just a prayer that somehow, someway, the project will stumble into profitability - years into an uncertain future. When (not if) these houses of cards collapse, guess who's left holding the bag? Not the GPs - they're already on to their next batch of unsuspecting victims. No, it's you, the capital raiser, watching your hard-earned reputation crumble like a sandcastle at high tide. Suddenly, Thanksgiving dinners become tense interrogations. Church feels like a walk of shame. Professional conferences? You might as well wear a scarlet letter. And for what? To peddle deal after miserable deal that seasoned players wouldn't touch with a ten-foot pole? Whether it's ill-conceived ground-up development or grossly overpriced multifamily, you're left hawking the dregs of the market. Here's my advice, and you'd do well to heed it: If you're at this crossroads in your career - and if you have a family, take a long, hard look in the mirror. You've got experience under your belt, but you're not calling the shots with your own balance sheet yet. That's a precarious position, and aligning with weak, inexperienced sponsors is a one-way ticket to career suicide in this business. Don't do it. I cannot emphasize this enough. The real estate game is unforgiving, and reputations take years to build but moments to destroy. When the dust settles - and it always does - where do you want to be standing? If this resonates, sound off in the comments. https://lnkd.in/emX-fnzw #RealEstateTruth #CapitalRaising #DueDiligence #InvestorBeware #MultifamilyInvesting #CommercialRealEstate #RealEstateWealth #SyndicationDeals

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https://buff.ly/46dCF4M A Comprehensive Guide for Pitch Decks (Investor Deck) Versions provides valuable insights into crafting effective presentations for potential investors. This resource covers essential elements like market analysis, financial projections, and competitive landscape assessment. It emphasizes the importance of clear communication and compelling storytelling to engage investors. Additionally, it offers tips on structuring the deck for maximum impact, utilizing visuals effectively, and tailoring the content to the target audience. Understanding these principles can significantly increase the chances of securing funding for your business. #PitchDecks #InvestorRelations

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Massachusetts has firmly established itself as a leader in innovation, with three standout sectors fueling its tech-driven economy: biotech, robotics, and cybersecurity. Here’s a look at why the state excels in these fields: 🔬 Biotech: Massachusetts is at the forefront of biotech, thanks to world-class research institutions and a thriving startup ecosystem. With companies like Ginkgo Bioworks, Inc.—Massachusetts continues to shape the future of healthcare, from groundbreaking vaccines to genetic therapies. Robotics: Home to pioneers like Boston Dynamics, Massachusetts has become a hub for robotics innovation. From autonomous robots to robotic prosthetics, the state’s ecosystem supports advancements that push the boundaries of human-machine interaction, transforming sectors from healthcare to logistics. Cybersecurity: Massachusetts is also a leader in cybersecurity, providing critical solutions to protect data and infrastructure in an increasingly digital world. With companies like Rapid7 driving research and product development, Massachusetts is at the heart of cutting-edge cybersecurity innovation. Together, these sectors position Massachusetts as a global tech powerhouse. #MassachusettsInnovation #Biotech #Robotics #Cybersecurity #TechEconomy #InnovationEcosystem #FutureTech #BostonTech

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Is this the year for strategic M&A? PE firms are under increasing pressure to realize returns on their investments. According to PitchBook, PE firms started the year holding over 27,000 portfolio companies, and nearly half of these companies have been in their portfolios for four years or more. Now as they try to raise new funds, investors question them for their limited exits. This pressure will create a unique buyer’s market. Meaning, high quality deals up for grabs at discounted valuation. It’s an opportunity to acquire value-driven companies at potentially favorable terms. The first half of this year didn't see as much dealmaking as many expected. There still were a handful of large corporations going for strategic deals. Let's see if there is a significant uptick in H2. Interesting times ahead. #entrepreneurship #venturecapital #startup #mergers #acquisitions Serial Entrepreneur & Investor Helping Startups Become Unstoppable – David Hauser

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Great breakdown of the key metrics LPs rely on when evaluating GPs! It’s always interesting to see how consistent performance indicators like IRR and MOIC can give LPs confidence, not only in the return potential but also in the GP’s strategic approach. For GPs, aligning investment pace and maintaining strong DPI ratios can be game-changers, especially when balancing growth with risk management. Focusing on these benchmarks can indeed set GPs apart, fostering trust and long-term partnerships.

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December 1 2024 – 5 Notable Articles To Read 𝗔𝗿𝘁𝗶𝗰𝗹𝗲: The Carlyle Group-backed life sciences investor launches $1.5B clinical trials fund 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆: Carlyle-backed investment firm Abingworth focuses on forging partnerships with major pharmaceutical companies, securing a share of royalties from newly developed drugs. 𝗦𝗼𝘂𝗿𝗰𝗲: Financial Times 𝗟𝗶𝗻𝗸: https://lnkd.in/dQrT4-SY 𝗔𝗿𝘁𝗶𝗰𝗹𝗲: World’s largest caterer Compass Group chases further deals in Europe 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆: Compass, the world’s largest catering company, is seeking additional deals in Europe after investing $1.7B in a series of acquisitions over the past year to capitalize on robust outsourcing demand. 𝗦𝗼𝘂𝗿𝗰𝗲: Financial Times 𝗟𝗶𝗻𝗸: https://lnkd.in/dbifXqbt 𝗔𝗿𝘁𝗶𝗰𝗹𝗲: Fintech Startup Parker Closed A $20M Series B To Build A Suite Of Financial Data 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆: A fintech company providing banking services, corporate credit cards, and financial analytics to clients such as Rebag, Untuckit, Caraway, Pathwater, and other consumer brands. 𝗦𝗼𝘂𝗿𝗰𝗲: Forbes 𝗟𝗶𝗻𝗸: https://lnkd.in/dSyMNxF5 𝗔𝗿𝘁𝗶𝗰𝗹𝗲: Inside Canada’s $2.4B Bet To Close The AI Adoption Gap 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆: Earlier this year, the Canadian government took steps to address barriers to AI adoption, committing $2.4B to drive job growth in the AI sector and enhance productivity by supporting researchers and businesses in developing and integrating AI technologies. 𝗦𝗼𝘂𝗿𝗰𝗲: Forbes 𝗟𝗶𝗻𝗸: https://lnkd.in/dAB-gDmC 𝗔𝗿𝘁𝗶𝗰𝗹𝗲: Half of Consumers Say AI-Generated Ads Are a Turnoff 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆: A global survey conducted earlier this year by YouGov has been corroborated by other studies examining the impact of AI-generated marketing imagery and text on consumers. 𝗦𝗼𝘂𝗿𝗰𝗲: Forbes 𝗟𝗶𝗻𝗸: https://lnkd.in/dTnQVrfR #ai #investment #research #business #news

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Rock Health has unveiled insights from a recent survey focusing on U.S. adults managing their weight. The industry has witnessed substantial advancements in the last 5 years, with the emergence of GLP-1's new opportunities have surfaced for brands and companies to offer enhanced support services and products to consumers. What is an innovative product or service you have seen that is providing value to consumers on their weight management journey? #Healthcare #WeightManagement #Healthandwellness

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As a veteran of several IPO exits over the past decade, and with SpaceX recently confirming a $350 billion valuation, I’d like to shed light on what this might mean for investors.    Understanding Share Deposits Post-IPO   When a company like SpaceX goes public, existing shareholders—be they employees or early investors—receive shares that can be deposited into their brokerage accounts.    This process typically involves the Depository Trust Company (DTC), which facilitates the electronic transfer of securities. While the exact process might vary depending on your brokerage or the service providers you use, you will need to instruct your broker/custodian/share registrar to electronically deposit any eligible securities into your accounts. Importantly, make sure that you Monitor the Transfer and stay on top of your service providers. Once the shares are credited to your account, you are free to manage or liquidate them as you see fit.  Potential Spin-Offs: Starlink and Beyond    If SpaceX decides to spin off a division like Starlink, shareholders might receive shares in both entities. Historically, such spin-offs have provided shareholders with additional value, as they gain stakes in multiple companies emerging from the original entity and allows for differing businesses to be valued independently.    Key Takeaways:    • Master the Basics: Familiarize yourself with the essential processes for transferring and managing shares after an IPO. • Stay Ahead of the Curve: Monitor company developments, including potential spin-offs, that may influence the trajectory of your investment. • Leverage Expertise: Partner with seasoned financial advisors to tackle the intricacies of post-IPO share management and tax considerations. Navigating the post-IPO environment demands strategic foresight and informed action. By mastering these principles, you position yourself to manage your investments effectively and seize emerging opportunities.   #IPO #SpaceX #InvestingTips #StockMarket #FinancialEducation #WealthManagement #InvestmentStrategy #CapitalMarkets #ShareholderValue #SpinOffs

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Wondering about capex-heavy deals in the search fund community. Asset-light businesses appeal for scalability, but are we overlooking the downsides? Hard assets provide leverage and can mitigate risk, especially when the market shifts, and the depreciation is nice for taxes. Striking a balance between growth and stability is key. How do you all approach this in evaluating opportunities with meaningful assets?

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To find these exceptions to the rule, look for companies which consistently repurchase their stock, but have stepped-up buybacks when the stock was weak. They have generated free cash flow and high returns on capital. And their share-based compensation is muted.

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You can be a company that takes care of people, and work for your shareholder in the world of private equity. - CEO Adam Coffey Adam Coffey DM us “Private Equity” for the link to the full episode #buybusiness #trump #harris #privateequity #mindingyabiz #mrsfabfinancial #drblackwealth

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How can you differentiate yourself with private equity investors as a sponsor, demonstrate the ability to deliver meaningful DPI! For years, investors relied on cash coming back from existing investments to make new investment commitments to private capital market funds. But with distributions at their lowest level in more than a decade as sponsor fail to deliver realizations on their private investments, their investors are zeroing in on a yardstick that measures that churn of cash, the true and real return on investment. Referred to as “distributed to paid-in capital,” or DPI, it’s the ratio of cash generated to what’s invested. A DPI ratio of at least one is considered healthy for older funds and historically was delivered by fund managers within the first three (3) to five (5) years of the fund’s life, while a lower number suggests that a private equity firm may not be returning enough capital to its investors and instead the fund manager is sitting on unrealized portfolio companies at a fanciful mark to market valuation that may be unattainable in the real world. Unsurprisingly, that hamstrings the ability of investors to allocate additional money to future private capital market funds! So as a private capital market sponsor, be a fiduciary, get some liquidity in your fund, a realization of your portfolio companies, and deliver DPI to your investors! #privateequity #privatecapital #privatemarkets #pe #vc #venture #growthequity #institutionalinvestor #liquidity #ipo #m&a #dpi #distribution #secondary

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