Pain-Solution Acquisition Framework

A framework for selling your company by understanding and solving an acquirer's pain points. This method focuses on strategic positioning and clear communication during M&A.

Why Companies Buy Other Companies

  • Financial Reasons

    • Strong revenue/EBITDA performance
    • Clear financial upside
  • Strategic Reasons

    • CEO personal interest or pet project
    • New executives wanting to make big moves
    • Catching up to surging competitors
    • Synergy opportunities (1+1=3)
    • Defense against competitive threats
    • Access to unique talent/technology

Pain-Solution Discovery Process

  1. Intelligence Gathering

    • Meet with company executives
    • Talk to corp dev teams
    • Connect with investors who know the company
    • Interview founders previously acquired by the company
  2. Key Questions to Ask

    • What initiatives have the most momentum/buy-in?
    • What fires need putting out?
    • Who's on the chopping block?
    • What companies are you most afraid of?
    • What would interest your CEO most about us?
  3. Package Your Story

    • Frame capabilities as solutions to their specific problems
    • Remove irrelevant details that don't address their pain points
    • Create clear, concise materials showing how you solve their issues
    • Make it easy to understand your team, tech, and strategic fit

Communication Strategy

  • Create Supporting Materials

    • Technical one-pagers explaining your technology
    • Talent overview presentations
    • Strategic alignment memos
    • Sample announcement communications
    • Clean financial data room
  • Make It Easy to Buy

    • Turn your company into a "one-click checkout"
    • Remove friction points in understanding value
    • Prepare all due diligence materials in advance
    • Create clear communication channels

Deal Management

  • Run parallel conversations with multiple potential buyers
  • Maintain momentum - speed is critical
  • Keep emotional distance during negotiations
  • Remember: One choice is no choice (need multiple options)
  • Don't burn bridges - deals often fall through and restart
15:22 - 17:04
Full video: 26:32
SP

Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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