Acquisition process
Acquisition Criteria
We look for businesses with great people, innovative and differentiated products or services, and ownership who deeply cares what happens to the business and its employees after selling.
We evaluate every opportunity, healthy or distressed, through the FANGS Framework, our proprietary methodology for finding, acquiring, stabilizing, and growing technology companies. A strong track record of profitability is not a requirement. What matters is a fundamentally sound business, whether that means proven financial performance or a company facing real challenges that the right operator and the right capital can turn around.
We are an independent sponsor managed by an experienced operator with 23 years in the technology industry, and we structure capital deal by deal to match the specific needs of each acquisition, healthy or distressed, rather than deploying from a fixed pool.
We believe sustainable business growth requires sound strategy, strong partners, and great relationships.
We invest with the goal of growing enterprise value and reaching the right exit at the right time, for the business, its people, and our investors.
We focus on companies in the lower middle market, where our operating experience, the FANGS Framework, and our network create real value, no matter what condition the business is in when we find it.
Process Stage
Preliminary Assessment
1 – 2 weeks
- Introductory meeting to understand the business and the seller's goals, guided by our Find and Acquire discipline within the FANGS Framework.
- Non-disclosure agreements are executed and limited confidential information is exchanged and evaluated.
- MTG visits the business, supplemented by discussions with the owners and their advisors about the company and the owners' objectives.
Due Diligence
6 – 8 weeks
- MTG submits a letter of intent to acquire the business and, once signed by all parties, continues due diligence under a brief period of exclusivity.
- MTG and our advisors request a comprehensive set of information about the business so we can complete our operator led diligence and begin drafting the purchase agreement.
Transaction Activity
1 – 2 weeks
- MTG drafts the purchase agreement and any required ancillary documentation, such as a new lease.
- Business owners and their advisors provide wire instructions required for closing.
- The agreements are executed by all parties and the funds are transferred.
Post-Closing Activities
1 – 4 weeks
- Group and individual meetings with all employees, beginning the Neutralize stage of the FANGS Framework to stabilize the business and protect key talent.
- MTG conducts calls and meetings with customers and vendors to secure relationships before moving into the Grow stage.
- Ongoing value creation continues under the Grow and Scale stages of the FANGS Framework.