May 26, 2011 1 Comment
“The cabin crew will point out your nearest exit now…”
The cue for the frequently pillioried waving of arms. Finding the right exit should be easy if you’re on an aeroplane but for most startups is isn’t that simple.
At EIE last week Stuart McKnight of Ascendant (a London based Corporate Finance house) reminded us that it the last five years, only nine UK companies had been sold to the global top ten technology companies. Even though the five year period includes the economic crash, that is a very small proportion of UK companies sold. So if a startup is citing the usual suspects (Google, Microsoft, Apple, Oracle etc) as a likely buyer, they either have something truly exceptional, or just haven’t done their homework!
So how DO startups identify likely purchasers, if the big names are such a long shot?