Samiksha Jaiswal (Editor)

Acquisourcing

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Acqui-sourcing /ˈakwi,sôrs,ing/ (adverb) meaning (acquisition + sourcing) is a portmanteau of "acquisition" and "sourcing" (sourcing for acquisition); is a newly-made term, word or phrase, that is in the process of entering common use.

In the U.S. middle-market, 2014 yielded a total deal value of $315.3 billion, the highest since 2007, according to Thomson Reuters. Deal volume performed solidly, if not spectacularly, with 2,303 transactions closing—125 more than the previous year but not quite as many as other recent years.

$52.12 billion in venture capital investment was invested in private companies in 2014 by venture and private equity firms, as well as corporations, hedge funds and mutual funds, according to Dow Jones VentureSource.

Some companies are turning to a technique called acquihiring wherein they acquire whole workforces by purchasing a company just to acquire that company's workforce.

Aqui-hiring (acquisition + hiring) translates to hiring by acquisition.

Acqui-sourcing is finding the decision makers in a company and then contacting them in live conversation about being acquired/purchased/partnered. It takes the traditional concept of "sourcing" (finding the source) to the next level of engagement and involvement in the process of discussion before the actual "acqui-hire." It can be accomplished in a variety of ways but one of the most effective is to call a company and speak with the owner. That process is many times delicate and is most effective when the caller is paired with someone who understands: 1. Realistic business valuation (especially in illiquid start-up contexts) 2. Contractual investment structuring 3. Personal network maintenance for adequate deal flow and to secure financing 4. Negotiation 5. Due Diligence

References

Acquisourcing Wikipedia