Deal origination investment banking involves creating new opportunities for private equity (PE) firms as well as venture capital firms and other financial intermediaries. In many cases these deals are the first step in the process of constructing a full-fledged merger and acquisition agreement.
At the lower end of the spectrum, a small-time broker might create mailing lists to send to business owners hoping that they will require intermediary services if they decide to sell their business. A big Wall Street firm may conduct regular meetings with clients in order to secure their authority for an investment bank transaction.
Both approaches are basically identical and have been around for a long time, but the advent of technology has changed the game through streamlining processes and supplying purpose-built digital tools to help with deal sourcing for investment banks. Private company intelligence platforms, specialized analytics, and specifically designed digital tools for investment banking help simplify the process of finding potential targets and conducting research for transactions.
These digital tools also enhance communication between team members and reduce the requirement for manual data entry. They allow investment banks to stay on top of fast-moving deal opportunities even when team members are on the move and not physically at their desks. These are just a few of the reasons modern investment banks are turning to technology solutions to run their primary business operations. Check out how DealCloud helped Balfour Pacific scale their growth and improve their processes by providing an integrated platform of solutions.