Part 1: The IOI. What is an Indication of Interest? with Jordan Rose, Ravine Capital

In part 1 of this 2 part series, we sit down with Jordan Rose, Managing Partner of Ravine Capital to discuss the process that many investors and business buyers observe leading up to a formal offer.

If you own a company and are contemplating a sale of your business, an IOI or Indication of Interest is a meaningful stage in the process. Jordan shares what information investors look for leading up to an IOI and what they hope to achieve with this formal, but non-binding, letter. Generally, it’s high-level alignment on purchase price, structure, and your respective values.

In part 2 we dive into the process leading up to a LOI or Letter of Intent in a company purchase. The LOI is similar to the IOI in that it maintains some of the same structure and elements of the IOI while adding more granularity and specificity to the offer. We also discuss how the LOI is largely non-binding with exception to the period of exclusivity where a buyer and seller are agreeing to negotiate with one-another exclusively for a period of time.

https://youtu.be/I7hXfn5OCDs?t=261 – topics covered and key assumptions we’re making
https://youtu.be/I7hXfn5OCDs?t=566 – what is an IOI?
https://youtu.be/I7hXfn5OCDs?t=812 – forms an IOI can take
https://youtu.be/I7hXfn5OCDs?t=871 – how do we get to an IOI? inputs
https://youtu.be/I7hXfn5OCDs?t=1231 – timing and buyer process with the IOI
https://youtu.be/I7hXfn5OCDs?t=1503 – post IOI diligence stage objectives
https://youtu.be/I7hXfn5OCDs?t=1871 – prioritized items for post IOI diligence
https://youtu.be/I7hXfn5OCDs?t=2304 – timing for post IOI diligence