M&A transactions are complex and can't be managed effectively without a complete management tool, which outweighs what humans can normally do. How M&A Pipeline Management software benefit corporate development is and will remain, a miracle to the M&A industry.
But first, let’s define what is an M&A pipeline. As DealRoom's M&A
pipeline management guide rightly said, "M&A pipeline is a flow of events that take place in a deal and how stakeholders work on them."
With an effective tool for organizing deals lifecycle, teams and third parties can keep tabs on the organization, scheduling, and information available to them throughout their deal lifecycle. They can master, customize, and easily access their deals activities.
Pipeline management is new. True. But it impacts on the M&A industry is not negligible, as it helps organizations to analyze deals — past, current, and upcoming — in each deal stage uninterruptedly.
If your organization has a deals team and yearns for better arrangement and planning, here are seven reasons a
business development software will benefit your organization tremendously.
1. Easy-to-Access Deal Overview Information
Being a part of a single M&A transaction or more does not really matter sometimes. For many organizations, the goal is to get a quick review of deal information, without having to go back and forth to achieve that.
And guess what? Many M&A pipeline management software includes a detailed overview of a company's deal activities, which is easily accessible from the dashboard.
Moreover, the overview is all broken down for the user right from the dashboard: the stage, start date, members, revenue amounts, location, number of tasks, and so on, details the users can access seamlessly.
From the dashboard, organizations can also easily access and analyze open tasks for each deal in their order of priority, and they'll be able to determine which should be attended to first.
For instance, if a user has many deals to work on, they will be able to analyze tasks in each deal, determine the number of tasks in a deal, determine the priority status (marked either high, low, or medium priority).
2. Customizable Metadata
Deals vary, and really, it is almost impossible to find any two deals that are similar. Therefore, it is important for any deals team to quickly access useful information about each deal.
How do M&A pipeline management software help, you ask? By providing an easy-to-customize interface containing information about what metadata is displayed for each deal, users can opt-in or out for information that is relevant to each stage of the deal.
3. Manage Multiple Deals Concurrently
As an organization or a deals team, it is quite difficult to be caught up with keeping schedules between deals and rooms, especially when using different platforms or service providers.
Pipeline management software allows users to label deals, accordingly, under certain stages, without having to switch between platforms. I mean that can become tedious over time.
4. Customizable Deal Stages
With a good pipeline management software, creating deal phase stages like discovery, integration, qualification, or under a letter of intent (LOI), is no longer a trouble.
Users can easily customize the deal stages with the 'deal stages' interphase, and they can analyze all the deals in any phase in an instant.
5. Quick View of Groups and Members
The complexity of M&A deals even extends to identifying groups that are integrated into deals. Before the introduction of management software, the responsibility used to be incumbent on certain individuals in a team, and it was demanding.
Good management software can help to identify the number of groups in each deal, the number of members in each group, and many other pieces of information that will be useful to the deals team.
Users, with the aid of pipeline management software, can easily access specific group and member information including email address, phone number, number of rooms, role, and so on.
6. Informative and Communicative Deal Notes
The dashboard is not only useful for having an overview of the deals, but it also allows users to add notes to deals from the dashboard easily. When users come back to the dashboard, they can easily remember important information in the notes added to the deals.
Besides aiding access to information, the 'notes' function also boosts communication and collaboration among members of a deals team.
Instead of the conventional method of sending out bulk emails to members, which not all will likely open, users can add notes to a deal, and every member of the deals team will be able to access it when they're using the platform.
7. Ease in Deal Information Reporting
Perhaps one of the greatest benefits of using
pipeline management software is that you can export pipeline room data whenever you want to.
Whenever you are asked for a deal information reporting, simply use the 'export' option button. All the details of the deals and metadata, from the pipeline dashboard, are embedded in an excel sheet.