Nelson Technologies

Situation

Mike Nelson, owner of Nelson Technologies based in Minneapolis, Minnesota had bought the business from his father who started the business in 1981. As a manufacturers’ representative and distributor of products for the natural gas and industrial markets, Nelson Technologies covers the greater Midwest region including Minnesota, Wisconsin, Illinois, Iowa, Northern Indiana, Missouri, Montana, Nebraska, North Dakota, South Dakota, Wyoming, and the upper peninsula of Michigan.

Changes were happening in the industry, presenting a unique opportunity for Mike to consider. His friend and business colleague had recently sold a similar business serving another geographic area in the United States and encouraged Mike to secure an M&A Advisor to assess the market and the opportunity for Nelson Technologies, connecting him to Adam Petricoff of VR Business Sales Charlotte.

The Result

Adam Petricoff spent a day in Minnesota meeting Mike Nelson, talking about business. Petricoff understood the industry and presented the unique opportunity Nelson had if he would consider being acquired. The initial conversation was productive, and the conversations progressed to a targeted focus on securing a strategic buyer for the business.

Before going to market, Petricoff focused on helping Nelson understand the value of his business. While relatively small in terms of people, the technical aptitude of the sales reps offered great appeal to a prospective industry buyer given their local relationships and expertise to serve their territories across many states.

Petricoff targeted strategic buyers to present the opportunity to acquire Nelson Technologies. A strategic buyer acquired Nelson Technologies with the agreement that the name, leadership team, and representatives would all remain in place. The acquisition enabled the buyer to strategically expand its portfolio with an add-on business in a targeted geographic area.

For Mike Nelson, the acquisition enabled him to continue working in a business that his father had started, while providing him and his family with financial security that may not have presented itself down the road.

“We had seen some recent activity in our industry, and I was not sure who I could find and trust to represent me. I was referred to Adam Petricoff at VR Business Sales by a friend of mine who had recently gone through a similar transaction in the industry. It became clear to me early on, that Adam had the experience and knowledge to help get us through this transaction. He made sure we had a great team of advisors to support me in the process. To anyone considering doing a transaction on their own, I will tell them there is no way we would have gotten the deal done without VR Business Sales taking charge on our behalf and looking after my interests. The process went relatively smoothly and when it didn’t, my team of advisors helped me along the way, and kept me focused on getting the deal completed…A great job by the whole team, led by Adam Petricoff and Lauren Stewart at VR Business Sales…I learned the true value of having a great team of advisors around me at this critical time and am grateful for their support and efforts. I cannot thank you all enough and can’t recommend to others how vital your team around you is during a transaction.”

Mike Nelson
Owner and Seller