Acquisitions · Investor pitch

Would you ever bring up a future acquisition with an investor?

ankit Mishra Software Engineer at Goibibo.

Last updated on March 31st, 2017

I’m speaking with a potential investor next week. At the end of my pitch I want to do maybe one minute on a few potential acquisitions for us going forward (we’re seed-funded but profitable and have good revenue and user growth MoM). I’m hoping it conveys that I know our market very well and understand how useful every corner of our core product is. What I don’t want is for the investor to think I’m presumptuous and not focused on growth, even though we both know that an acquisition would make us money. Would you bring this up? If so, how?

Andy Freeman Product Management and ... - Looking for new opportunities

March 31st, 2017

You want to bring up acquisitions because investors want to get paid and acquisitions are one of the most common ways that happens. However, you do need to explain why each acquisition makes sense for the acquirer AND that the potential acquirer is likely to do an acquisition. (Acquisitions in the past is often helpful.) That said, remember that companies are bought, not sold.

In fact, acquisition offers are often a good way to argue that the business makes sense.

Dane Madsen Organizational and Operational Strategy Consultant

March 31st, 2017

If you can articulate why it is a good idea, provide a foundation of where your company will be before this is a real idea, then the investor should not be put off by the conversation.

Bob Fucci Sales and Revenue Growth, Strategy, Advisor, Speaker

April 18th, 2017

Obviously there is an NDA in place?