Successful Deal Execution is a Matter of Timing, Focus, Skill and Skill
Successful deal execution is a matter of concentration, timing, and, above all else, a cool head. Deal professionals with execution proficiency can spot miscommunications before they happen, clearly communicate complex concepts in writing, capture specifics, resist the temptation to omit complexities and, when necessary, exert a calming influence on the people around them. It’s not only their investment skills that allow them to achieve this, but a set of specific skills.
Deal execution is the key to transforming a potential acquisition into a closed deal. This includes everything from identification and screening, through final negotiations and integration. Investors must be able to manage the entire process in a timely manner including the gated approval process and a multi-staged diligence procedure and a 100-day operational plan. To accomplish this, investors should have a good understanding of the global capital markets. They also have to be able to manage the whole process, which may include an investment approval that is gated, a multi-staged due diligence process and a 100 day operating plan.
Be aware that the other party has the same emotions you are. It can be easy to let perceived annoyances and miscommunications stall negotiations. To mitigate this, it’s good to enter negotiations with an open mind that is open to the possibility of concessions – but always ensure you are offering something valuable in exchange. This could be in the form of additional assets or a more flexible timeframe, or even a commitment to work together long-term.