HIGHLIGHTS
- Helped the client prepare for a sale with advisory, audit and tax services
- Negotiated an additional six-figure gross-up payment on top of the successful transaction
BACKGROUND
When preparing for an exit, there are many factors to consider. Beyond the sale process, sellers must ensure their day-to-day finances are positioned to yield the best result.
Dytran Instruments engaged GHJ for tax and audit work in anticipation of a liquidity event. Dytran is a leading designer and manufacturer of innovative sensors, accelerometers and associated electronics based in California. The family-run company needed guidance in preparation for a sale.
GHJ’S APPROACH
GHJ employed an advisory mindset, gaining significant knowledge of both the business and the individual owners. This allowed the team to advocate for solutions that best fit the client’s goals on a business and a personal level.
GHJ’s Tax and Audit and Assurance teams were able to position the company for a sale, and the Transaction Advisory Services (TAS) team recommended strategies to maximize the exit valuation. These teams worked together seamlessly to achieve a favorable result.
RESULTS
The company ultimately sold at a valuation that was significantly higher than initial expectations. Further, GHJ’s TAS Tax Practice negotiated a six-figure gross-up payment that went far beyond the expected valuation and went directly into the client’s pocket.
“We were blessed with a team of the highest integrity, character and competence,” said Dytran General Manager Dave Change. “GHJ kept our strategic goals in mind and went above and beyond with guidance that kept us focused on the end goal.”
