Testimonial: standing strong in acquisition financing as an SME

Martijn Peeters and his brother Emiel run Tuinen Peeters together. When Wilfried Buls proposes to sell his company, Tuinarchitectuur Buls Claes, the brothers don't hesitate for long. However, Martijn realizes he needs help to finalize the acquisition. The Financial Insight program comes at the right time.

“I actually wanted to follow this program earlier, but I kept postponing it,” says Martijn. “When we had the opportunity to take over a company, it was the right time to bring in a financial expert.” That expert is UNIZO coach Carla Kayaerts. With her background in banking, she is the perfect person to help the brothers build a strong credit file.

Valuation as the Basis for Business Acquisition

Wilfried Buls, from Tuinarchitectuur Buls Claes, was looking for a new business partner because his associate was retiring. Through connections, he comes across the brothers. “Our main activity is garden construction, and garden maintenance is a smaller part. But with Wilfried and his team, we have now evolved into a true design firm. Wilfried has enthusiastically thrown himself into this new chapter of his career. He is a real asset to Tuinen Peeters.”

Martijn knows he owes a lot to Carla for the smooth handling of the acquisition. “Valuation is crucial if you want to get financing,” she explains. “Is the acquisition price correct? That's the first thing financiers look at. We explored different methods to determine the value and also discussed various financing options.”

Standing Strong as an SME

Carla also gives Martijn tips on how to best persuade banks with his acquisition file. “How do I approach and write to banks? What information do I share, and what do I hold back? How do I formulate everything clearly without getting lost in details? But the most important lesson was that we as an SME should not downplay ourselves. We thought that as a small business, we should just be grateful that a bank wanted to work with us. But Carla convinced us that we had a strong file and could really negotiate for a favorable loan. Without her, we would have been too compliant, which would have cost us a lot of money.”

I didn't tell him which financing to choose. I gave advice, but the final decision was up to Martijn. - Coach Carla

Making the Right Choice in a Business Acquisition

Besides a good file, engagement is also a major asset according to Carla. “Banks want to see that entrepreneurs know their business, understand what they are doing, and are committed to it.”

Martijn convinces not one, but three banks. Together with Carla, he reviews the proposals. “I didn't tell him which financing to choose. I gave him advice, but the final decision was up to Martijn.”

In the meantime, the acquisition is complete and the program met Martijn's expectations entirely. Carla is also satisfied with the collaboration. “Besides the acquisition, Martijn was looking for tools to manage his business financially. I immediately noticed that he was open to advice and dared to critically assess his business.”

Everyone Has Their Specialization

Martijn is a down-to-earth guy with green fingers. According to him, it's pretty simple why the program is interesting. “Everyone has their specialization. I am an expert in gardens, and when I need help with my finances, I seek an expert in finance. This actually applies to everything.”

Better Collaboration with Accountant

Martijn's story is a great example of how diverse the Financial Insight guidance can be in a business acquisition. However, Carla emphasizes that financial knowledge is the foundation for good collaboration with your accountant. “Accountants know numbers inside out, but many entrepreneurs do not. This often causes communication issues. With a good understanding of your numbers, you can ask directed questions, discuss matters, and truly collaborate with your accountant. Remember: the decisions always lie with the entrepreneur. In this regard, this guidance can truly add value.”

This article previously appeared on the UNIZO website titled "We built a strong credit file and thereby received favorable terms"

Looking for capital for your business or insight into your financial situation? UNIZO Guidance Financial Insight - also for acquisition financing