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					              Presentation by:
            Jeffrey S. McCormick
  General Partner of Saturn Partners LLC
CEO of Alternative Technology Resources, Inc.




                                      Saturn Partners
What are the exit strategies?




                            Saturn Partners
       What are the exit strategies?

1)   Cash Flow




                                       Saturn Partners
       What are the exit strategies?

1)   Cash Flow
2)   Sale of Assets/Company, perhaps to
     employees




                                       Saturn Partners
       What are the exit strategies?

1)   Cash Flow
2)   Sale of Assets/Company, perhaps to
     employees
3)   Reverse into a Shell




                                       Saturn Partners
       What are the exit strategies?

1)   Cash Flow
2)   Sale of Assets/Company, perhaps to
     employees
3)   Reverse into a Shell
4)   Private to Private Transaction




                                       Saturn Partners
       What are the exit strategies?

1)   Cash Flow
2)   Sale of Assets/Company, perhaps to
     employees
3)   Reverse into a Shell
4)   Private to Private Transaction
5)   Merger or Acquisition - Public




                                       Saturn Partners
       What are the exit strategies?

1)   Cash Flow
2)   Sale of Assets/Company, perhaps to
     employees
3)   Reverse into a Shell
4)   Private to Private Transaction
5)   Merger or Acquisition - Public
6)   OIP



                                       Saturn Partners
What are some of the issues for
     M&A transactions?




                            Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations




                                       Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations
2)    Cash v. Stock




                                       Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations
2)    Cash v. Stock
3)    Asset v. Stock Purchase




                                       Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations
2)    Cash v. Stock
3)    Asset v. Stock Purchase
4)    Management Issues; Lock-ups,
      Vesting, Non-competes




                                       Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations
2)    Cash v. Stock
3)    Asset v. Stock Purchase
4)    Management Issues; Lock-ups, Vesting,
      Non-competes
5)    Legal Considerations; Contingencies,
      Liabilities


                                       Saturn Partners
     What are some of the issues for M&A
                transactions?

1)    Tax Considerations
2)    Cash v. Stock
3)    Asset v. Stock Purchase
4)    Management Issues; Lock-ups, Vesting,
      Non-competes
5)    Legal Considerations; Contingencies,
      Liabilities
6)    Perspective: VC, Management,
      Employees, etc.
                                       Saturn Partners
What are some of the factors that
 dictate value of acquisitions?




                              Saturn Partners
What are some of the factors that dictate value
              of acquisitions?
1)    Economic Factors: Revenues, Earnings
2)    Technology
3)    Competitive Environment of Acquirer
4)    Employees and Management
5)    R&D Pipeline
6)    Market Perception




                                          Saturn Partners
Why are IPOs so attractive?




                          Saturn Partners
        Why are IPOs so attractive?

1)   Raise significant amounts of capital
2)   Allow you the fuel for acquisition
     strategies
3)   Create awareness
4)   Liquidity for investors, employees




                                            Saturn Partners
What are some of the issues and
    negatives with IPOs?




                            Saturn Partners
 What are some of the issues and negatives
               with IPOs?
1)   You need to be a good storyteller
2)   Reporting
3)   Pressure
4)   Liabilities
5)   Visibility




                                         Saturn Partners
General Advice




                 Saturn Partners
             General Advice

1)   Technology is tougher to market than
     a solution




                                      Saturn Partners
             General Advice
1)   Technology is tougher to market than a
     solution
2)    Build a company to last, be prepared
     to sell




                                       Saturn Partners
             General Advice

1)   Technology is tougher to market than a
     solution
2)   Build a company to last, be prepared
           to sell
3)   Set realistic goals and expectations,
           and allow those to be dynamic




                                       Saturn Partners
              General Advice

1)   Technology is tougher to market than a
     solution
2)   Build a company to last, be prepared
           to sell
3)   Set realistic goals and expectations,
           and allow those to be dynamic
4)   Wealth is created in concentrated
     positions
     Wealth is preserved in diversified
     portfolios
                                        Saturn Partners

				
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posted:10/6/2011
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