There it is. The age-old question that continuously pops up, especially when it comes time to sign an engagement letter. I know what our seniors say, but am more curious to hear what you think the value is that M&A bankers actually add.
Is M&A advisory dead? A dedicated corporate development team is much cheaper than a banker. I don'tthat were spread to perfection - I have yahoo finance, close enough. I don't need your precedents - Edgar is free and I have monkeys that work for me. ? Youtube.
If I am a potential M&A client, especially if I'm a PE shop that is unloading a portfolio company, what are you going to do for me that justifies your fee? What value do you actually add? What do you know that I don't? I already steal your top talent. The same goes for buyside engagements (shops still do these, despite having a better chance of winning in Vegas).
Are you really just an overpaid realtor with a few industry contacts from when you got your Masters in Porter's Five Forces? Or, are you just my 1st world outsourcing shop to do the crap that I don't want to do/deal with during a process? Do your random analyses actually add value or are you doing them just to "show that we did work?"
Simply put - justify your existence. Start singing for your supper. Dance monkey. Dance.