Frequently Asked Questions

Frequently Asked Questions

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  How long does Volaris hold a business before selling it?

  Volaris never sells its businesses. We believe in holding companies and growing them forever.

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  How much autonomy will my company have post-acquisition?

  We believe that the best decisions are made locally by leaders with intimate knowledge of their market. As a part of Volaris, you can continue running your business as a standalone company while benefitting from belonging to a larger global organization.

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  How should I start to prepare to sell my software company?

  You will need to prepare certain documents in advance of acquisition discussions. These documents may include business plans, product information, market data, and high-level industry trends, as well as information on customers and suppliers. In terms of the financial information required, we will want to see historical income statements, recent balance sheets, and financial projections for at least the next 3 years.

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  What is involved in the due diligence process?

  The due diligence process involves both the buyer and seller looking to validate assumptions about their relationship moving forward. During the process, we will review the financial, legal, and operational aspects of your company.

  So that you can compile and prioritize the documents required for review, a due diligence checklist will be provided by Volaris. It generally includes:

  • Financial statements – historical, year to date, and forecasted

  • Market information – market analysis, competitive landscape, and SWOT analysis

  • Commercial data – pricing and revenue model, sales pipeline, product analysis, and customer analysis

  • Legal – supplier agreements, customer agreements, any historic, current or potential claims, disputes, litigation, etc.

  • Intellectual property – patents, trademarks, NDAs and non-compete agreements, R&D agreements, etc.

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  What kinds of advisors will I need to enlist to help me sell my software company?

  Depending on the abilities of your internal resources and your level of comfort managing unfamiliar processes, you may consider hiring one or more of the following advisors:

  Business Broker

  • You may choose to sell your company on your own, or you may choose to engage a business broker (sometimes referred to as an M&A broker or advisor). These specialists focus on sourcing buyers, preparing companies for sale, and running auction processes. Read this article to learn more about business brokers and how to choose one that will suit your needs.

  Legal Counsel

  • Consider enlisting the services of a lawyer that has experience in M&A. The right legal advisor will help ensure that you understand the process, advise you on risks, advocate on your behalf, and ultimately, close the deal. They should also be able to advise you on who else you may need on your team, such as an accountant or other transaction advisors.

  Accountant and Tax Specialist

  • An accountant will play a crucial role during the diligence process, particularly in situations where you have chosen not to engage a broker. Your accountant will act as a trusted advisor and will help you navigate the financial aspects of due diligence. Moreover, tax implications are often an overlooked area. Engaging an accountant to structure the transaction in the most tax efficient manner can create additional value for you.

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  How does Volaris help foster collaboration and idea-sharing between acquired businesses?

  We regularly hold functional summits for employees in sales & marketing, customer care, professional services and finance. These summits allow individuals with the same job function to meet each other and build networks across businesses. We also host leadership development events such as Quadrants, a Volaris-wide event with over 600 attendees.

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  Will Volaris offer opportunities for career growth for my employees?

  We strongly believe that a strong talent pool is necessary to build a great business. As such, we nurture a culture of learning and provide professional development opportunities for all levels of the organization.

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  How will selling my software company to Volaris impact my customers?

  When we acquire a business, we remain loyal to it. Unlike private equity or venture capital firms, we do not flip and resell the companies we buy. By keeping businesses forever and investing in products and employees, we allow customer needs to be met over the long-term. We also invest in organic growth initiatives, which can enable you to provide additional products and services to your customers.

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