Time To Merge? Acquire? Exit? New BostonCoach CEO Scott Solombrino will speak on limo industry consolidation trends during a panel appearance on May 20, 2014 during the LCT Leadership Summit in Miami Beach.
MIAMI BEACH, Fla. — As stated in the 2014 State of the Industry Address at the International LCT Show in February, industry-wide consolidation among limousine operations is imminent. The corporate travel market is bracing for mergers among ground transportation companies, which they believe will drive up rates on chauffeured vehicle services.
LCT Publisher Sara Eastwood-McLean will lead a discussion at the 2014 LCT Leadership Summit about this major industry trend and how operators and vendors should prepare for the projected wave of mergers and acquisitions.
The panel — which includes Vince Wolfington, former CEO of Carey International and an industry strategist on mergers, Ron Sorci, CFO of Miami-based Aventura Worldwide whose background includes spear-heading a major industry roll up in the 1990s, and Scott Solombrino, who brokered the recent merger of DavEl and BostonCoach — has the industry buzzing with questions.
LCT related article: Summit Hosts All-Star Consolidation Panel
These critical insights will only be available to attendees of the LCT Leadership Summit, which is limited to 150 people. The Summit is about 75% sold out as of today. REGISTRATION HERE. The panel will be held Tuesday, May 20 at the Eden Roc Hotel, site of the three-day Summit from May 18-20.
Covered in this in-depth discussion are these key factors all serious minded owners must know in order to be prepared for the coming changes:
- What is the motivation on buying or selling a company?
- Why do you buy a company as opposed to opening your own office in a particular city?
- Why do you buy a company in your own base city?
- What are the main points you are looking for in an acquisition? (This can also tell operators how to prepare their company for acquisition and to receive the highest value as a seller)
- Do you use a broker or go direct and why?
- As a buyer, what do you use as formula to value the proposed company you are considering acquiring?
- How do you handle the employees of an acquired company?
- When and how do you integrate/place your management team into the new company?
- What is the expected transition period?
- How long will you keep current management and what contracts do you make with employees?
- Do you keep the owner for a period of time to continue running the acquired company?
- What are the advantages of acquiring a profitable company vs a not profitable company?
- Do change the names our keep the acquired company name?
- How do you rebrand an acquired company with clients?
- Are you just buying client lists?
- Are you buying equipment?
- When is the optimum time for acquisition?
- What are the pitfalls? What can go wrong?