Impact Acquisition Hits a Home Run for a Home Care Franchisee

When the owners of a large in-home senior care franchise decided they were ready to sell the business they’d worked to build for more than two decades, they contacted the team at Impact Acquisition.

But this would be no normal sale. As with any franchise transaction, Impact would be working with three interested parties instead of two – the seller, the buyer and the franchisor. And as one of the largest franchises in the company, Impact knew finding the right buyer would be pivotal to the success of the deal.

Using its network of resources, Impact found a perfect match – a private equity group that makes long-term investments in proven, growing companies. The franchisor was initially reluctant to consider the group as a potential buyer; there had never been a private equity-backed buyer in its franchise network. But Impact showed why the group was the right fit for this transaction and how the buyer’s plans for growth fit into the franchisor’s model.

With savvy parties on both sides of the transaction, due diligence was complex. Impact managed the process from beginning to end, making sure critical information was provided in a timely fashion and working with outside consultants to assist with reviews of clinical records, tax statements, legal matters and financial documents so the sellers could remain focused on their day-to-day operations.

Once purchase agreement negotiations were underway, Impact was a fierce advocate for their clients, explaining each step of the process and helping overcome obstacles that could have threatened the success of the transaction. In the end, the Impact team was able to secure the best outcome for their clients, even devising a creative deal structure that allowed the sellers to retain equity in the new company and benefit from the buyer’s plans for growth.