Deal origination bankers search for deals on both the buy-side as well as working with private equity firms in order to find companies for acquisition or investment, and on the sell-side (working with companies looking for funding or an exit). It isn’t just a key component of a successful investment bank, but is now a necessity for all businesses that want to grow. This article will review the top tips for successful deal origination and will also provide some strategies that young businesses are using to improve their efficiency.

In the past time, firms relied heavily on deal flow created through their relationships and interactions with business owners and intermediaries. This isn’t a reliable method to increase the amount of deals and their quality. It is time-consuming and challenging to establish accurate goals and forecasts when the quantity of lead sources fluctuates.

Many investment banks are working on sourcing outbound deals. This method involves looking for specific types in areas where the investment banker has knowledge and a network of contacts. Increasingly, this is done through online platforms, such as Axial which provides an online repository of deal information.

Many investment banks also use technology to automate search processes, making www.digitaldataroom.org/what-is-operating-synergy/ sourcing leads easier and more efficient. This lets them concentrate on building and managing their connections with intermediaries while increasing their ability to recognize, qualify and connect with the most suitable investment opportunities at the right moment.