Fees
What Fees do we Charge?
Our typical fee for an acquisition/divestiture is 5%.
That said, we can do 1% or a flat fee for very large deals ...
Or if you need only certain services, such as you have the seller or buyer and just need us to Wrap up the Deal, or just need Deal Documents. Or Closing Documents, or assistance with just the transition or consolidation, the fee can be a fraction of a percentage or a flat rate. We sometimes charge a higher fee or minimum amount for small deals. We sometimes get double or triple what a small seller’s best offer was – so our fee is highly worthwhile.
Of note to sellers ...
For small sellers we often obtain double what you can obtain on your own, for mid-size sellers we often obtain 25% more than what you can obtain on you own or through others, so our 5% fee really doesn’t cost you anything.
Of note to Buyers ...
In the long run, our cost is truly meaningless to you. What matters to you is to obtain the deal safely and efficiently.
Of important note ...
We have seen sellers and buyers who truly want to get the deal done, but couldn’t get the deal done, this 5% is worth it to get the deal done.
Our Retainer
We typically require a $5,000 non-refundable up-front fee which is often credited to the commission at closing. We close over 90% of our deals who provide a retainer, so you can be assured of closing if you have no issues. Historically we don’t close only when an unexpected issue arises, such as an unexpected lien appears, an unexpected partner issue arises, due to environmental/government issues, if a borrower wants a loan though then refuses to provide their tax returns, or Covid. Over 23 years, only 2 PCI Buyers (Buyers that PCI represented) didn’t buy – Twenty years apart – And in 23 years only one PCI Borrower didn’t obtain a loan (and he refused to provide his tax returns). After 23 years PCI has seen most every imaginable issue. We need this retainer so we know you have no hidden issues. If you have no hidden issues, our past performance will provide you assurance we will get the deal done, and of far more importance an optimal deal for you, well worth the fee.
Our Fee to Obtain Financing
Our fee to obtain financing is dependent upon the type of financing desired & the strength of the borrower.
The fee for Business Valuations
Our fee for business valuations runs from $2,000 – $20,000, depending if you wish an approximation or a precise value, and whether you desire a verbal estimate or a beautiful package.
If you feel you can sell, finance or buy on your own ...
We can provide you valuable guidance on “what to do”. As such, we provide consulting services to sellers, buyers, and borrowers, during which we will provide you with a valuable overview of how a transaction is done, inclusive of all the necessary documents, such as the Term Sheet, Letter Of Intent, Purchase & Sale Agreement, and all of the Exhibits, Schedules, Appendices, Addendums and Closing Documents. We also provide consulting services to increase the value of your company, inclusive of with respect to sales, marketing, customer contracting, record organization, generation of optimal financials, financial reporting, and operations.
Our consulting services are available at the rate of $1,000 per hour or $5,000 per day. This may sound expensive, though for a $10,000 consulting fee we have saved or made $10,000 – $100,000 per year for several of our clients. For a $10,000 fee we have obtained customer contracts that added $200,000 to the value of a company. For a $5,000 retainer and 5% commission, we obtained customers over a million dollars more than their prior highest offer.
We are well worth the money. We list our rates ahead so there are no surprises to you, and no wasted time. We’ll get you the TOP PRICE, we’ll get you the BEST TERMS, we’ll make your company MORE VALUABLE. Of comment, I’m not any smarter than you. I know how to do this because between Buyers and Sellers I’ve seen HUNDREDS of alarm companies, and have seen “the best way” and “the dumbest way” to do things, and because I’ve seen (after my first 100 alarm deals) other industries, I’ve seen smarter ways to do things (our alarm industry is 99% guys, 99% founded by older guys, people outside our industry evolved in a different way than us, it is smart to import some of their ideas). Our customers will tell you the fees they pay to PCI are the best business investment they ever made. We have several buyers who have done over 20 deals with us and/or have used us as a consultant for over 20 years – so we must be worth the investment.