For some business owners selling their business to a trade buyer or private equity investor isn’t always the preferred route, the right “fit”, or even viable.
For many companies, the senior management team have been heavily invested in, and they are just as passionate about the business as the business owner themselves. This is when a Vendor-Initiated Management Buyout (“VIMBO”) may be suggested as a way of selling the business to the management team who have been part of the valuation creation.
This resource details the VIMBO process, from the initial approach from the business owner to the management team, to the pros for both parties and what may be expected from any investment company post a transaction.