Blog
Lighting Articles
A series of articles providing viewpoints on the intersection of M&A and the lighting industry.
The Vibrancy of Lighting M&A
I’ve been an active lighting industry participant for over 35 years. I have a personally curated database of thousands of companies within the electrical and lighting industries; over 2000 manufacturers of lighting fixtures......
Does overage help my income statement and valuation?
Imagine a lighting manufacturer that doesn’t offer overage with $20m annual revenue, a 50% gross margin, 10% commission expense and 10% operating income margin.Then consider a..
Overage-Good Witch, Bad Witch, Which?
Over the years, I’ve met with hundreds of lighting representatives, and a broad assortment of reps from other sectors of the building materials......
Who are the most active buyers in the lighting industry?
Most of our clients are surprised to learn that public company buyers account for only 30% of lighting M&A transactions. Historically.....
Sale Prep Tips
Merrimack Group provides tips for business owners planning a sale to ensure a smoother process, more offers, and ultimately a higher valuation.
Tip 1
The cost of audited financial statements is typically minuscule relative to the value of a marketable company...
Tip 2
It is not unusual for large companies to have at least one active or threatened legal dispute at any given time, so it is generally not feasible...
Tip 3
Buyers generally prefer companies with a well-defined point of differentiation. It could be superior products, faster lead times, outstanding support....
Tip 5
Private equity buyers are increasingly active in the M&A market, and they typically prefer to invest in companies where the owner is several years away.......
