Eikenzande Services Approach. Paul van Doorn's experience and capability

1. Eikenzande BV
Accelerating Value
End-to-End Value Creation Advisory Services
September 2012
Paul van Doorn EIKENZANDE
BV
Founder & Owner KONIJNENLAAN
42
2243ET
WASSENAAR
Eikenzande BV - Business Acceleration THE
NETHERLANDS
Tel
+31
6
53261324

2. Agenda
1. Eikenzande
2. From Opportunity to Value
End-to-End Value Creation Advisory Services
3. The Business Acceleration Framework
Annex
• Eikenzande - Selected Transactions -> Contact Paul
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3. Professional Model & Qualifications
www.linkedin.com/in/paulvandoorn
Unlock value through Business Acceleration
• Future Perfect business planning & modeling
• Hands-on coaching of talented people, strategy, organization, technology & corp. fin. / M&A scenarios
• Manage market & transaction perception through clear positioning
• Focus on fast growth sectors: Cloud/Mobile, Security, Social Media, Renewables & Agri Technology
Paul’s CV Experience, Capability
IBM Network Services Account Manager Over 28 years of Global experience in the ICT, Mobile &
Technology industry as salesman, banker, CEO, board
Nolan Norton & Co. Senior Manager US Consultancy member and trusted advisor
Thought leader technology platform implementations
Actively serves clients - end-to-end – to assess, develop,
Sprint International Founder & CEO Dutch Business prioritize, and successfully implement solutions. Role varies
KPN Mobile CEO between temporary executive, hands-on business & people
coach, deal maker, or board advisor
KPN Executive Board Member KPN Intl, SVP M & A
KPNQwest Executive Board Member Global Experience with Complex Assignments
I leverage my global network to provide high quality hands-on
Eikenzande BV Founder expertise. A mix that can include acquisitions, capital raising
NTT DoCoMo Tokyo Senior Advisor / Executive Director or divestitures which I execute for my clients
3UK London Non Exec Board Member UK Mobile Carrier Passion: Unlock value with Business Acceleration
Many M&A, Funding, Coaching and Strategy Assignments Future Perfect Business Planning & Modeling to optimize
Strategy, Organization, Technology, and M&A scenarios
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4. Agenda
1. Eikenzande
2. From Opportunity to Value
End-to-End Value Creation Advisory Services
3. The Business Acceleration Framework
Annex
• Eikenzande - Selected Transactions -> Contact Paul
4
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5. Eikenzande Support Services Overview
End-to-End Value Creation Advisory
M&A Investment
Transaction Value
Support Development
Investment Investment Portfolio
Selection Management
From Opportunity to Value: Providing End-to-End Value Creation Advisory Services
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6. Detail from Opportunity to Value – Service Steps
End-to-End Value Creation Advisory
M&A Investment
Transaction Value
Support Development
Investment Investment Portfolio
Selection Management
Investment M&A Investment
Selection Transaction Value
Support Development
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7. Services – Investment Selection
Investment Portfolio Risk & Plan
Strategy Market Scan Assessment
Investment strategy Portfolio Market Scan Risk & Plan Assessment
• Define Investment strategy • Market Research based on • Full Analysis of a specific
Company & Risk profiles company
• Detailing: sector, company
type, development phase, • Per investment detail on • Company detail on market,
risk profile and size investment goal and technology, product,
potential risks and support finance, legal, governance,
• Portfolio Risk requirements requirements leadership issues
• Result: clear company and • Result: company list with • Result: overview of risks
risk profiles detail and profile priority and company value
potential
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8. Services - M&A Transaction Support
Acquisition Disposition Cap. Raise Carve Out &
Support Support Support Transactions
M&A Support Capital Raise Support Carve-Out & Transaction
• Supporting shareholders • Supporting shareholders and • Supporting shareholders and
and or the company with an or the company with Raising or the company with carving
acquisition or a sale capital from investors out a company
• Project manage and • Project manage, coordinate • Project manage, coordinate
coordinate various experts experts and documentation experts and documentation
• Conduct negotiations with • Conduct negotiations with • Conduct negotiations with
focus on value, control and focus on value, control and focus on value, control and
shareholder protection shareholder protection shareholder protection
• Result: a transaction with • Result: a successful • Result: a successful and
maximum value realized investment stable carve out
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9. Key Services - Value Development
Business Portfolio
Acceleration Development
Key Service
Business Acceleration Portfolio Development Support
• Advising shareholders and supporting and • Advising, supporting and help managing the
coaching management to accelerate development of a company investment
realization of potential company value portfolio
• Develop and review business plans, product • Developing the optimal portfolio support
and market propositions, distribution, model for developing stable value growth
production platforms and key reporting
criteria. • Analysis of portfolio company progress,
required development and providing
• Regular structured management reviews governance support
• Result: faster and larger realization of • Result: a well managed growing portfolio of
potential value companies
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10. Agenda
1. Eikenzande
2. From Opportunity to Value
End-to-End Value Creation Advisory Services
3. The Business Acceleration Framework
Annex
• Eikenzande - Selected Transactions -> Contact Paul
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11. Business Acceleration Framework
Approach based on 28 years of experience in the Global ICT & technology industry as a
successful salesman, banker, CEO, board member, and trusted advisor
Business Coaching
“Result
“Focus” Realization”
Product / Market Business Plan
Positioning & Reviews
Creating
Superior
Business Value
“Perception “Facts”
Realization”
M&A Exit Positioning
Eikenzande structured support can fast track company value
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12. Realizing Results
Reach Full Potential Through an Active Integral Approach
1
1. Output Thinking – back track from the perfect future
§ Describe goals and business plan as future perfect Information Memorandum in 2 to 3 years
§ Create right company perception and parameters; fast growth from Day One
2.
2 Precise Goals – clear priorities
§ Closely align people and financial resources with business plan, and keep it that way
§ Mistakes lead to wasted time, resources and motivation
§ Provides decision review frame work supporting all to stay on plan
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3. Clear and timely Decisions – focus, planning and preparation
§ Think ahead; timely and solid preparation always improve decision quality
§ Acceleration occurs only through a positive cycle of increased revenue & margin
§ Delayed or flawed decisions have an extremely negative long term effect
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4. Integral Tracking & Tracing – always know where you are
§ Integral approach is superior: Include corporate finance in execution planning & decision
§ Actively, Fanatically check, review and adapt plan and metrics to business & valuation targets
§ Only a fool never changes his mind ;-)
If you don’t know where you are going, you will never get there!
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13. Realize Perception
In a World of Recurring Revenues & Cloud Margins
Value Calculation : Revenue x EBITDA Margin x Company Multiples*)
1 Recurring Revenue – Effect of Delay and Acceleration is disproportionate
1.
Rule of 78 effect:
§ Speeding up has very big impact on Annual revenues
§ Slow decisions or delivery cut revenues significantly
2 Cloud Model – Marginal Costs drop disproportionate
2.
§ Additional Clients, after fixed cost coverage, only minimally increase costs
§ Margin improvement significant when client numbers grow
3 Multiples – Perception is Reality
3.
§ Fast growth has a significant positive effect on exit multiples
§ Clear Positioning attracts relevant buyers, additional synergies push multiple up
§ Potential Buyers see what they are looking for; Confirmation Bias is your friend
Revenue growth & clear positioning kick starts exceptional value growth !
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*) EBITDA Multiples calculation as based on expected value of discounted future cash flows (DCF)
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14. Eikenzande Approach Aimed at Maximizing Value
Only active integral method will accelerate revenue, margin & positioning
• Establish clear “future perfect” company goals
1 Solid Business Plan • Plan how to get there
Foundation • What resources are required
• Financial Plan including valuation parameters
• Review results, decisions and priorities against plan
• Positively align personal strengths with company
2 Business Coaching requirements
• Provide frame work for reflection & lessons learned
• Integrate Corporate Finance skills from the start
3 Manage M&A and • Validate positioning versus likely buyers needs
funding processes • Focus on the right relationships early on pays off
• Business and Financial Plan always prepared
• Overcoming temporary Skill needs by providing
4 Adding Professionals additional Professional Commercial, Financial or
IT Strategy Support from extensive global network
Timely preparation & focused execution creates superior results 14
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