Prepare for the spending spree
Suddenly VCs are so excited about the coming year they can barely sit still. They've got money burning holes in their unfathomably deep pockets and they need to invest. Fast.
It’s certainly reassuring to hear. For those of us with friends who found themselves dumped out of the corporate finance world by redundancy a couple of years ago, it’s all beginning to sound like good news. Indeed, we could see the return of gigantic bonuses by the end of the year – a sure sign things are on the up.
For advisers, including those among accountancy firms, there’s a little bit of groundwork to be done however, if they’re going to be ready to take advantage of the returning market.
Firstly, those redundancies. In the past the corporate finance world has been accused of overreacting to a downturn by taking a knife to staff numbers. So, do you have enough staff in place to exploit the upturn?
If you’re a partner doing your own number crunching and buying your own sandwiches, your headcount could be seriously lower than it should be.
Better call HR and get them recruiting.
Secondly, have you done your research? Do you understand the markets in which you want to work well enough to be able to initiate a deal? I mean, do you know enough to tell a client exactly what they should be buying right now?
Big questions, eh? But that’s the nature of corporate finance. When the market’s back, it will all happen with astonishing speed. Better make sure you’re ready.