Entrepreneurs Hub advises on the partnership sale of Rapport TeleBusiness LLP to Sabio

Type of business:
Specialist call centre and customer experience analytics consultancy
Location:
South London, UK
Sale Value:
Undisclosed 

Situation

Founded in 1996, Rapport TeleBusiness Consulting LLP is a specialist UK provider of SaaS customer experience analysis solutions for contact centres. Their clients include organisations and advertisers from financial services, broadcasting, mobile, publishing, retail, utilities, and charities.

In 2017, owners Graham MacIntyre and Nick Velissarides recognised there would be significant opportunities for development if Rapport was acquired by a larger organisation with the resources to optimise their potential in these markets. With an exit strategy as their goal, they engaged Entrepreneurs Hub to sell their business.

Requirements

• First-hand knowledge of the technology industry to enable specialist matching of companies in the contact centre and customer experience space
• A full review of the business fundamentals, including software documentation to ensure code would make the right impact and enable easier transition
• An investment in analytics and software reporting tools to properly articulate a compelling proposition to prospective acquirers
• Significant due diligence support to minimise the burden on the sellers and accelerate the deal completion
• Bespoke assistance with every stage of the business sale journey e.g. accurate valuation, marketing to prospective acquirers, negotiation
• Reassurance that the acquirer of the business would continue to operate within the same value system; looking after their staff, customers and other stakeholders

Solutions

Entrepreneurs Hub Directors assisted Rapport as follows:

• Initiated a ‘discovery day’ with Rapport to familiarise themselves with the business, enabling bespoke support
• Created an ‘ideal buyer profile’ and used research analysis to identify 180 potential targets for their approval
• Prepared an information memorandum, teaser letter and presentation that would enhance acquirer interest
• Anonymously approached approved targets to gain interest and secure a non-disclosure agreement (NDA) to enable the release of the information memorandum
• Arranged and chaired meetings between a highly-skilled Deal Director from Entrepreneurs Hub and interested parties
• Received and evaluated multiple offers to establish the preferable choice of buyer, which led to further negotiations to maximise those offers
• Closed the deal with Sabio, a renowned player in customer interaction and optimised value experience

The Team

The friendly team of corporate finance experts at Entrepreneurs Hub supported Rapport throughout the whole 9-month exit process. Their chief advisors included:

Malcolm Murray, Director and Co-founder

Malcolm is an established corporate finance consultant, entrepreneur and accomplished motivational speaker who has had direct involvement in supporting the sale of 45 businesses. He leads regular seminars such as ‘Preparing and Selling a Business the Right Way: Vital Steps in Building Value’. He has consulted with over 1,000 business owners considering selling companies of all sizes.

• 30 years’ experience in business growth roles in the Mergers & Acquisitions (M&A), Business Consultancy, Manufacturing, • Engineering, Information Services, Automotive, Retail and Construction sectors
• Former Senior Manager and Group Board Director of a leading international M&A business
• A founding member of a successful company with James Caan (ex-Dragons’ Den), CEO of Hamilton Bradshaw Private Equity (HBPE)
• Co-founder of FI, an Information Service for the Engineering and Manufacturing sectors, which he grew from 4 to 165 people, operating in the UK, the USA and Germany (partsold for $10.8m)
• Active community volunteer and trainer for Basingstoke Street Pastors

Andrew Shepperd, Director and Co-founder

Andrew is a successful entrepreneur, mentor, lecturer and specialist in both buy and sell-side transactions, including IPfocused sales. He oversees the Entrepreneurs Hub deal-making team and has first-hand knowledge of selling and acquiring businesses, including post-acquisition integration. Andrew has over three decades’ commercial leadership experience.

• Former MD of Avaya and Azlan and main board member of TechData UK
• Lecturer on M&A and Investment and Advisory Board Member of the Imperial College London Global MBA and Entrepreneurship MSc programme
• Mentor to MassChallenge, Microsoft Ventures Accelerator and the Swiss Embassy in London
• Has coached over 100 organisational leaders on communication strategy, turnaround, profit & revenue growth, and business operations, including not-for-profit organisations such as Buckinghamshire County Council and UK National Police College
• Leader of 5 organisational turnarounds for Nasdaq and NYSE quoted companies

Results

•  Successful sale – Rapport sold to Sabio, a leading player in customer interaction and optimised value experience – for an undisclosed sum, joining their impressive list of subsidiaries including LV= and Homeserve
• With the expert help of Entrepreneurs Hub, Graham MacIntyre and Nick Velissarides were able to navigate the exit process and sell Rapport for optimum value and with minimal stress
• Rapport’s unique customer experience and efficiency technology now has the opportunity to reach new heights, combined with Sabio’s sharper focus on all aspects of the customer journey
• The synergy of these well-matched companies has unlocked further value for customers, while contributing directly to improvements in operational performance as well as lower customer effort scores
• Sabio has made another giant leap in their acquisition strategy of aligning with innovative adjacent technologies and solutions

Nick Velissarides – Managing Partner, Rapport TeleBusiness Consulting LLP:

“Your detailed approach in researching the right buyer and your persistence in negotiating the terms with an excellent partner who will take our business on to the next level. I would have no hesitation in recommending the Entrepreneurs Hub to business owners who are looking to prepare and sell their business.”