Orchestrating the Perfect Match
"IBA paired me with a potential buyer who had extensive experience in running a large organization ... I did not expect to find a buyer, let alone a perfect buyer. But Indiana Business Advisors found the right person at the right time for the right price ... It was a pleasurable, professional and rewarding experience. Now that the deal is done, I can say with the utmost confidence that (IBA) far surpassed my expectations."
- John Moorin, Seller (previous owner, Wabash Medical Co.)
Indiana Business Advisors pairs experienced businessman with company looking to grow to the next level.
Founded in 1990, Wabash Medical Co. bought and rented continuous passive motion machines— machines that automatically move the limbs of post-surgery patients and aid in circulation, rehabilitation and recovery. The company began as a one‐man, start‐up operation but quickly grew into a multimillion‐dollar, highly profitable company with clients throughout the Midwest.
The company primarily rented two medical products – Knee Continuous Passive Motion (Knee CPM) machines and Game Ready Systems. Knee CPM is a device used to flex and extend the knee following surgery. The Game Ready System, originally developed for NASA, is a pneumatic compression and cooling device that delivers cold therapy and intermittent compression to accelerate the body’s natural healing process and ultimately speed recovery.
With a highly respected national reputation, a satisfied and growing list of clients, expanded product line and growing profits, Wabash Medical Co. owner John Moorin decided it was time to sell to someone who could take the company to the next level.
He sought the professionalism, expertise and network of potential business buyers that only Indiana Business Advisors could provide.
“IBA provided me with a great target valuation from the very start,” Moorin said. “I actually was quite surprised the market showed my business was worth considerably more than I originally thought.”
IBA Enters Process
After cleverly and very discretely marketing Wabash Medical Co. as a business for sale throughout the national marketplace, IBA approached Moorin with more than 10 buyers. However, a deal was not made with the potential buyers who offered the most money. Instead, discussions started up with Chicago businessman Mike Wilford.
Wilford wanted to buy an existing business when he ran across an intriguing Internet advertisement by Indiana Business Advisors. The ad promoted IBA’s services and listed a business — Wabash Medical Co. — that was available for acquisition. After extensive research into continuous passive motion devices (CPMs), Wilford learned the CPM business experienced long‐term, steady growth for a number of years.
“I was interested in the company’s niche products,” Wilford said. “There were substantial opportunities for Wabash Medical Co. to grow its existing product and take advantage of its reputation and referral network to introduce new products.”
Wilford credits IBA’s business brokering efforts and attention to detail with the quick turn‐around time of the transaction. For seller Moorin, feeling comfortable with the leading buyer prospect was extremely important. “IBA made sure both myself and the seller had a high comfort zone with each other,” Morrin said. “I enjoyed direct communication with Mr. Wilford throughout the entire process with IBA, and I believe that allowed me to learn about him, his interests and his desire to seriously pursue the business.”
For many businesses the size of Wabash Medical Co., Indiana Business Advisors’ potential buyers are corporate buyers or private equity groups. With businessman Wilford, IBA aligned Moorin with a financial buyer. Wilford proved to be the best fit for meeting Morrin’s terms, comfort level and overall goals.
Indiana Business Advisors worked with the buyer and seller’s accountants, attorneys and advisors to professionally coordinate the process and finalize a closing. Further, IBA was instrumental in finding the appropriate lending source for Wilford when his preliminary lending source fell through.
“IBA paired me with a potential buyer who had extensive experience in running a large organization, which is what Wabash Medical Co. needed,” Moorin said. “I did not expect to find a buyer, let alone a perfect buyer. But IBA found the right person at the right time for the right price. IBA’s Brian Knoderer told me everything that was going to happen up front and we followed all steps to get things done.
“It was a pleasurable, professional and rewarding experience,” he continued. “I had high expectations of IBA when I met with Brian. Now that the deal is done, I can say with the utmost confidence that Brian — and Indiana Business Advisors — far surpassed my expectations.”
Under Wilford’s ownership, Wabash Medical Co. and Motion Medical aligned with umbrella company Tri 3 Enterprises LLC.