Understand the buyer’s investment structure
A private-equity firm may invest through a fund and may pursue platform or add-on acquisitions, but structures and strategies differ. A roofing owner should ask who the actual buyer is, what entity would sign, and how the acquisition is funded.
Ask about the operating plan and owner role
Discuss post-close leadership, decision authority, integration, hiring, safety, systems, growth expectations, and the anticipated owner transition. The buyer’s intended role for management can be as important as headline consideration.
Compare terms, not just headline price
Cash at close, rollover equity, earnouts, seller financing, indemnities, working capital, escrows, and employment terms may affect total economics and risk. These provisions require careful review with qualified legal, tax, and financial advisers.
Verify claims and protect confidentiality
Confirm buyer identity, funding, references, track record, portfolio, and stated criteria using reliable sources. Do not share sensitive company information without appropriate confidentiality and professional guidance.