By Brian M. Smith, Co-founder and Managing Partner
The Confidential Information Memorandum (CIM) is often referred to as the “story of the business.” It’s the primary document potential buyers use to understand your company and directly affects buyer interest, valuation, and speed to close. Our team creates CIMs that inform and persuade, balancing comprehensive data with a compelling narrative.
What is the Purpose of a CIM?
A CIM serves two roles: it’s both a marketing tool and a diligence foundation. It provides buyers with the data they need to evaluate your business while shaping the strategic narrative around your strengths, opportunities, and market position.
What Should a CIM Include?
A strong CIM typically covers:
- Executive Summary: An overview of the company highlights and rationale for a transaction.
- Company Background: History, operations, leadership team, and industry positioning.
- Financial Performance: Historical results, adjusted EBITDA, and projections with assumptions.
- Growth Opportunities: Expansion plans, innovation pipeline, and scalability.
- Risk & Mitigation: Addressing potential concerns proactively builds buyer confidence.
What Qualitative Factors Affect Value?
We partner closely with management to capture both the quantitative and qualitative story. Each CIM is customized to highlight competitive advantages and align with buyer priorities, resulting in faster engagement and stronger offers.
Conclusion
A well-crafted CIM isn’t just a document; it’s a first impression that sets the tone for the entire transaction. LCG’s Investment Banking team ensures your business is positioned clearly, professionally, and persuasively to maximize buyer confidence.