After weeks of preparation and analysis in Phase 1, the second phase of selling your company marks a pivotal shift: going to market.

This is where strategy meets execution—and where momentum begins to build.

At Colonnade Advisors, we approach this marketing phase with discipline and intention. It’s not just about sending out a few emails. It’s about positioning the company, identifying the right buyers, and creating competitive tension that leads to the best price and terms.

Building the Buyer Universe

The first step in this phase is finalizing the buyer list. Depending on the industry and client preferences, this list might include anywhere from a handful to hundreds of qualified parties. We cast a wide net, but only to pre-qualified buyers. These are groups we know through our extensive network—private equity firms and strategics we’ve had active conversations with, who are interested in the space and have dry powder to deploy.

This isn’t guesswork. It’s targeted outreach based on deep industry knowledge and established relationships.

Creating the Teaser

Before revealing any sensitive information, we send a one-page teaser to prospective buyers. This high-level snapshot is anonymous—it outlines the company’s value proposition, market position, and growth potential without revealing the name or location. The goal? Spark interest and get the right parties to raise their hand.

Accompanying the teaser is a non-disclosure agreement (NDA). Only after signing the NDA does a potential buyer receive the Confidential Information Memorandum (CIM).

The Confidential Information Memorandum (CIM)

The CIM is the company’s story, told clearly and credibly. Today, this is typically a 50–70 slide PowerPoint presentation that covers:

• Executive team overview
• Market and industry dynamics
• Growth opportunities
• High-level financials and KPIs
• Competitive advantages and barriers to entry
  

The CIM is where prospective buyers get excited—and start envisioning the future with your company in their portfolio.

Managing the Funnel

While buyers review the CIM, Colonnade fields their questions. Our deep dive in Phase 1 enables us to answer 85–90% of those inquiries without needing to loop in the client. This allows management to stay focused on running the business while we qualify interest and filter out tire-kickers.

Throughout this time, we’re also preparing for the next stage—developing the Management Presentation and populating the data room with materials for further diligence.

Indications of Interest (IOIs)

The culmination of Phase 2 is the submission of written Indications of Interest. These non-binding letters outline:

• An initial valuation range
• Deal structure (cash, stock, rollover equity)
• Proposed timeline
• High-level strategic rationale
  

It’s not unusual for dozens of buyers to request the CIM—but only a fraction submit IOIs. That drop-off helps us identify who is serious and qualified.

From there, we narrow the list to a smaller group (typically 4–6 buyers) to advance into Phase 3.

Phase 2 is where deals begin to take shape. It’s the moment the market engages with your story—and the competitive process starts to drive value.

At Colonnade, we manage this phase with precision, leveraging relationships, strategy, and discipline to create the best possible outcome for our clients.