The owner of Capital Care Services, Sue Holmes, had been looking to sell the business for some time. A previously agreed transaction, overseen by another provider of M&A advisory services, had fallen through. She engaged Avondale, having been made aware of the firm’s  strong reputation within the care sector and its track record of successfully completing similar transactions.

Avondale’s analysis highlighted that the company’s appeal to potential suitors was being undermined by two factors. The first was a lack of a strong management team resulting in a heavy reliance on Ms Holmes for the day-to-day running of the business. The second was the limited length of Capital Care Services’ remaining contract with the local authorities. To maximise the sale value, Avondale suggested the appointment of a high-calibre manager who immediately began working to acquire Registered Manager status.

Furthermore, the local authority contract was extended by a year, which significantly increased the value of the business. By creating a competitive marketplace to drive the interest in the company further, Avondale was able to secure an offer for Capital Care Services in excess of the original asking price requested by Ms Holmes. Full consideration was paid on completion. The resulting deal provided all stakeholders with complete satisfaction, having met all of their respective goals and more.