Dear Clients, Partners, and Friends of martinwolf M&A Advisors,

With all the news and concern surrounding COVID-19 and its resultant market impact, we at martinwolf wanted to reach out. First, and above all, to say that we hope you, your colleagues, and your loved ones are safe. Second, we want to assure you that we are closely monitoring the developing situation and have resources in place to provide you continued support.

While we have never faced a global pandemic like this, the IT industry has dealt with recessions, market collapses, and disruptions before. The Dot.com bubble, the 2008 market crash, and post-9/11 presented unique challenges and unstable conditions. The industry was forced to change and develop contingencies to mitigate the impact of unknown surprises. As a former owner-operator, I know how scary it can be and how scary it seems today.

In martinwolf’s Annual Letter at the end of 2019 I said, “Economic shocks, market downturns or dramatic policy changes could send dealmakers on the defensive. However, unless there is a Black Swan in our midst, strong multiples, accelerated consolidation and record cash on balance sheets are all good indicators that the mid-market remains a favorable place to be.” COVID-19 is that Black Swan and, while it remains to be seen how long and wide-reaching its impacts will be, the technology industry is well-positioned to weather the storm.

Going forward, you can expect us to regularly check in with guidance regarding how best to position yourself given today’s environment. Expect weekly notes covering topics such as preserving business value, navigating a changed M&A market, mitigating risks and understanding new valuation guidance.

I’ll close with one final note: if we can be helpful to you during this time, please do not hesitate to reach out. You can fill out our contact form and I or one of my colleagues will call you back shortly.

Thank you for being a member of our extended family.

Sincerely,

Marty Wolf