Established in 1988, Solo Electrical was a well-established general electrical contractor specialising in the new-build housing sector. The company had an annual turnover of about £1.1m.
The manager and sole shareholder in the business, Richard Hayward, was planning for retirement. His main ambition was to secure an outright buyer for Solo Electrical, and to remain with the business for a short period to ensure an effective handover period. After receiving a recommendation from his accountant, Mr Hayward contacted Avondale to discuss his objectives.
Enthused by the firm’s strong track record in managing business sales in similar industries, he decided to engage the company to lead the project. Once on board, Avondale’s team set about undertaking in-depth research on the marketplace to identify a range of potential buyers. A number of discreet enquiries were placed with suitable targets, which returned responses from several interested parties.
From here, Avondale arranged a number of face-to-face meetings with prospective buyers, which progressed to in-depth discussions with a private individual who offered the resources and expertise to take the company forward. With Avondale leading the negotiations, the talks moved smoothly towards a successful conclusion and heads of terms being agreed. Mr Hayward was delighted with the outcome: this included a majority sale fee paid on completion, with an additional sum payable over an 18-month period, subject to performance.