This episode goes in-depth into what founders can do to engineer & navigate an exit for their startup. We cover everything from various types of exit routes (classic M&A, Private Equity buyouts, acqui-hires, asset sales, etc.), what large acquirers look for, generating acquisition interest, fielding corp dev inbounds, valuation methods, key deal terms, how to become diligence-ready, and finally, leaning on investors, bankers, lawyers & advisors to help drive an exit.Joining me for this discussion are Madhu Chamarty and Hanz Kurdi, Founding Partners of HKMC, a Silicon Valley-based advisory firm that supports early-stage founders and emerging VC managers in achieving their most important milestones, including fundraising, go-to-market, and exits. Each of them has 20+ years of experience in navigating exits. Hanz’s prior startups were acquired by PayPal and Google, while Madhu’s prior HRTech startup was acquired by Lightcast.TIME STAMPS:(01:06) The HKMC backstory(05:57) Today’s AI exit environment(12:37) What do large tech acquirers look for in potential M&A targets?(23:13) Is Private Equity a viable exit channel for software startups?(26:23) Should founders entertain inbounds from corp dev?(32:24) What can founders do to create a “salvage exit” in case they don't achieve PMF?(43:40) What can founders at $10-100Mn ARR do to engineer an exit?(52:40) How do acquirers typically value startups?(58:38) How do acqui-hire deals work? (1:00:36) Key legal terms during M&A deals(1:05:00) How can founders become M&A diligence-ready?(1:11:51) What can VCs do to help drive exits for their portfolio?(1:20:58) When do M&A advisors/ I-bankers become relevant in a company's lifecycle?Connect with Madhu - https://www.linkedin.com/in/mchamarty/ and Hanz - https://www.linkedin.com/in/hanzkurdi/*****Check out "An Operator's Blog" (https://operator.blog/) for weekly posts on Startups, Investing, and Life.I am a venture investor focused on the US-India corridor. Feel free to reach out on LinkedIn (https://www.linkedin.com/in/soumitrasharma5/) and follow me on X (@soumitra_sharma).

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