Affiliate Marketing – Restructuring and dealmaking

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SELLING THE PREVIOUS DREAM

When the inner purpose noticeably changes, entrepreneurs tend to make adequate decisions of moving on to the next project. Rightly so, entrepreneurs are the initial instigators of our day and age and provide employment and meaning to others. But what to do with the project that has become a serious business and occupied the majority of the last years? Many entrepreneurs become their company and their company becomes them. With great care, a cleavage should be created to clearly identify the two separate organisms, the entrepreneur, and the business. A sensitive process where two identities will go through a small crisis and must redefine themselves to continue to thrive. Plena 8 was tasked to guide the process until the sale of assets of an affiliate marketing company.

Luckily, we have dealt with many entrepreneurs during their acquisition process. Our human centred approach fully integrates the dealings of the human component. Embodying the clients’ persona, understanding the needs and desires are integral to approaching any step. Setting expectations and discussing a variety of scenarios is necessary to be realistic and conclude the aim and objectives. This is followed with a multi-step approach for a smooth transition to the new.

STEPS TO TAKE

The next steps are relatively similar to the scaling of a business. It’s about identifying and formalising each step to create an overview of the company. This contains an overview of the inner strategic compass, and the value system from growth to delivery. The value system should showcase the value drivers, dedicated playbooks, and responsibility and output within the team. This overview shall showcase what kind of KPIs and/or scorecards have been used until then while the company dashboard implies the entire structure. A crucial aspect of a company is their company culture. This is something that won’t be clearly showcased but should be experienced. Describing someone’s values and principles would help the buyer to “understand” what the company is about, but “knowing” comes when it is experienced. Success of these steps is the achievement of a singularly identified business. The ultimate test is if the founder could step away from the business without any major implications.

Have the courage to follow your heart and intuition. They somehow know what your truly want to become.

-Steve Jobs

After the formalisation steps, Plena 8 documented all the desired files for a potential buyer, restructured the contracts, optimised the financials for clarity with the eyes of an investor, and negotiated with brokers and potential buyers a deal. Knowingly, we solely aim for our set objectives to ensure no time is wasted and value is clearly shown. Asymmetric return is realized when the perceived risk is low and the potential upside is high, an ultimate match between a buyer and seller when the same premise is perceived. Within the negotiations that followed, an amplification of these steps should be transparently shared to recognise the potential match and potential upside for both sides. Although many conversations were going nowhere, and buyers withheld their intentions, the right match is easily recognised when it is clearly stated. Our brains easily recognise the yellow car on the road when it is set as a target. Plena 8’s dialogue methodology is partially based on negotiation techniques to find the ultimate truths. These techniques are the way our dialogues are being established, rapport is built, and how philosophers cut statements to find the root.

OUR LEARNING

A major learning from this project was the emphasize of the human component and the necessary transparency. Many have the tendency to keep dancing around the bush thinking that the other side knows their desires, limitations, and wants to take advantage of them. If one side creates clarity, many (definitely not all) will follow and time and resources are being saved. The human aspect of business is what Plena 8 keeps emphasising and improving although an end may never be reached.

Note that we deliberately conceal our client’s name and specific details. This content is purely to showcase a case study for educational purposes only and should be seen like that.

 


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“The only true wisdom is in knowing you know nothing. The unexamined life is not worth living. There is only one good, knowledge, and one evil, ignorance. Be kind, for everyone you meet is fighting a hard battle.“
-SOCRATES

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+49 176 74 74 70 84

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GENERAL CONTACT
we@plena8.com
+49 176 74 74 70 84

DUBAI OFFICE

Wadi Al-Safa 3, KOA Canvas - Dubai

AMSTERDAM OFFICE
Weesperstraat 61, 1018 VN Amsterdam

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