Executing acquisition to support national expansion
F12.net (“F12”), a leading Canadian Managed Service Provider (MSP), was executing on a highly successful acquisition strategy, however, all their acquisitions had been in Western Canada. The company was now looking towards Ontario, and specifically, the GTA area for expansion, and FirePower was engaged to find appropriate targets.
FirePower’s team worked with F12 to understand their acquisition strategy, then built a comprehensive target list and crafted a story that emphasized F12’s amazing corporate culture. This was key to generating interest from potential targets in the MSP space, as it is dominated by younger business owners. Apps on Tap was of particular interest as it represented an exciting, potentially synergistic addition to F12’s eastern operations. FirePower’s team worked to make contact and build a relationship with the company.
Apps on Tap was ultimately sold on the benefits of joining the F12 family. With FirePower’s support, F12 acquired Apps on Tap in May,2018, thus taking a significant step forward in developing its GTA presence.
GrowthGenius (“GG”) is an AI-assisted sales prospecting service provider for B2B businesses, headquartered at the OneEleven accelerator in Toronto. The company needed financing to fund its rapid expansion. Raising equity seemed like the obvious choice, but GG's exceptional growth prospects made an equity investment unappealing because of the high cost of dilution. GG sought out a debt solution, and were well into discussions with other lenders when FirePower was introduced.
LEAP Group was formed to acquire the assets of Metal Networks, an online quoting platform for metals procurement based in Austin, Texas. FirePower arranged a compelling deal structure for LEAP in this distressed situation.