Management Presentation

Last updated: March 22, 2024

What Does Management Presentation Mean?

A management presentation, in the context of a company sale, is the first in-person meeting between a management team and a prospective buyer. It is a meeting typically initiated by the company owner and his/her management team prior to actual negotiations occurring. During the meeting, the management team pitches the merits of the company and answers any questions that the buyer might have. It is also an opportunity for the owner to establish rapport with the buyer and ask questions as well. In fact, the owner should take full advantage of this meeting to ask questions about the process pre- and post-sale, due diligence and the buyer’s vision for the company.


Divestopedia Explains Management Presentation

Management presentations usually occur after the expression of interest (EOI) is received and can be conducted with numerous buyers. The presentation can last from a few hours to a full day. The goal of the presentation is to receive an offer that exceeds the seller’s price expectations as well as select a buyer capable of closing the transaction within a reasonable time frame.

The formal presentation will typically include a current financial update, a sales pipeline report or backlog, and a review of the assumptions used in the financial projections. Some of the information covered in the meeting would have also been included in the confidential information memorandum (CIM). However, the formal presentation gives management an opportunity to highlight certain key points and also to present any new business developments after the CIM was prepared.

Most buyers appreciate an owner who asks questions during the management presentation, since it tells them that the owner is engaged and interested in finding a buyer who will be the right fit. Buyers consider a management presentation part of the preliminary due diligence of a company as it usually gives them insight about the capabilities and overall mindset of the managers they will partner with.


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