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Is It Time to Sell Your Paper & Packaging Business?

The paper and packaging industry has seen a great deal of change in recent years. You’ve no doubt noticed how fast things are changing, and these shifts present both opportunities and challenges. For many business owners, this could be the ideal moment to capitalise on those changes by selling to the right buyer.

Sustainability and Environmental Concerns

Sustainability isn’t just a buzzword – it’s a major force reshaping the paper and packaging industry. Whether it’s due to stricter regulations, consumer demand for eco-friendly products, or corporate sustainability goals, the pressure to adopt environmentally friendly practices is intense. Big companies are on the hunt for businesses that have a strong commitment to sustainability or innovative eco-friendly packaging solutions. If your business fits this mould, it’s a prime target for acquisition. Buyers are willing to pay a premium for companies that help them meet these green goals and improve their public image.

Digital and E-Commerce Packaging

The rise of e-commerce has changed the packaging game entirely. With more people shopping online, there’s a huge demand for packaging that can withstand shipping while also providing an enjoyable unboxing experience. Companies specialising in e-commerce packaging – think protective packaging, lightweight materials, and custom designs – are in high demand. If your business is already tapping into this trend, you’re likely in a strong position. Larger firms are looking to acquire businesses that can help them stay competitive in the digital age.

Consolidation for Economies of Scale

Larger companies are snapping up smaller players to increase their market share, expand geographically, and boost their product offerings. By joining forces, they can achieve economies of scale, reduce costs, and improve efficiency. If your business has a solid market position but lacks the resources to compete with the big players, selling to a larger company could provide the scale and reach your business needs to thrive.

Technological Advancements and Automation

Technology is driving significant changes in the paper and packaging industry. From advanced manufacturing technologies to automation and digital printing, companies are eager to acquire businesses with cutting-edge capabilities. These technologies help improve production efficiency, reduce waste, and meet growing customer demands for high-quality, customisable packaging. If your business has invested in these areas, it could be particularly attractive to buyers looking to gain a technological edge in the market.

Focus on Innovation and R&D

Innovation is key in this fast-paced industry. Companies are on the lookout for businesses with strong research and development (R&D) capabilities that can drive the next wave of innovation. Whether it’s developing new materials, sustainable packaging solutions, or advanced printing techniques, businesses that lead in innovation are hot commodities. If you’ve been investing in R&D, selling now could allow you to capitalise on those efforts and see a significant return on your investment.

Private Equity Involvement

Private equity (PE) firms are increasingly interested in the paper and packaging sector. They see the potential for steady cash flows and growth through strategic investments. PE firms often target companies with strong market positions and growth potential, offering capital and strategic guidance. If your business has a solid foundation but needs a boost to reach the next level, selling to a PE firm could be a great option.

Vertical Integration

Vertical integration is becoming more common as companies seek to control more of their supply chains. This involves acquiring suppliers or downstream businesses involved in distribution and logistics. If your business plays a role in these areas, it could be an attractive target for companies looking to streamline operations and reduce costs.

Specialist Business Exit Advice

The paper and packaging industry is experiencing significant changes, and with change comes opportunity. Whether it’s sustainability, technological advancements, or the rise of e-commerce, these trends are creating a ripe environment for mergers and acquisitions.

If you’ve been thinking about selling your business, now might be the perfect time. Engaging a corporate finance specialist can make all the difference, helping you unlock the full value of your business and secure a deal that meets your goals. Don’t miss out on the chance to capitalise on the current market trends—selling your business could be the best decision you ever make.

Contact The MGroup Corporate Finance Partner Geoff Pinder (07717 874357) for a confidential discussion.

Testimonials

What our Customers Say

The MGroup have really been there for me and my business through the good times and the more difficult ones. Their advice has always been spot on, and has really ...
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Jessica Harvey-Smith
Debate Chamber Limited
The MGroup have really been there for me and my business through the good times and the more difficult ones. Their advice has always been spot on, and has really helped me to plan ahead and to consider angles on decisions which I might not have thought about otherwise. As well as being admirably clear and straightforward, everyone I have dealt with there has been friendly, patient, and thoughtful, and has really taken the time to get to know my business.
Jessica Harvey-Smith
Debate Chamber Limited
Mark has given me excellent Corporate Finance advice and support for 3 years and I would thoroughly recommend him. He is very tenacious in finding suitable companies to acquire and then ...
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Mark Swaby
Management Buy In client
Mark has given me excellent Corporate Finance advice and support for 3 years and I would thoroughly recommend him. He is very tenacious in finding suitable companies to acquire and then good at negotiating and putting deals together, including the all important funding. He is also very innovative in finding solutions to issues arising along the way.
Mark Swaby
Management Buy In client
Without a doubt, I recommend speaking with The MGroup. They are very knowledgeable, very understanding, have a good feel for our business and accommodate us quickly when we need help. ...
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Peter Mace
Managing Director, TT Concrete
Without a doubt, I recommend speaking with The MGroup. They are very knowledgeable, very understanding, have a good feel for our business and accommodate us quickly when we need help. We frequently get approaches from other accountancy firms and I tell them that we have no need to look elsewhere as everything is catered for very efficiently by Peter Smith and his team. I couldn't fault them.
Peter Mace
Managing Director, TT Concrete
I have nothing but admiration and respect for Geoff, Sandie and Lesley, the team at MGroup Corporate Finance who led us through the sale process - they are...
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Dan Graham
co-founder of F45 Training Stratford
I have nothing but admiration and respect for Geoff, Sandie and Lesley, the team at MGroup Corporate Finance who led us through the sale process - they are true professionals. Our key contact was Partner, Geoff Pinder, who took us under his wing, asking the right questions to help us make sensible decisions and protect our best interests. From the very first conversation it felt like they cared as much about our endgame as we did. We were both under a lot of pressure to close the deal and move on with our lives, so having a team we trusted by our side as we navigated game-playing, time-wasting potential buyers, was incredibly helpful. They are all wonderful people, and I would highly recommend you talk to them if you’re planning to exit your business.
Dan Graham
co-founder of F45 Training Stratford

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Jordan Lyne

Partner

Jordan has worked with various client’s over his ten years at The MGroup. The services provided range from bookkeeping, VAT returns, annual accounts and management accounts. He has been involved in recruitment of new staff members and helped move the firm on with it’s systems by creating and improving internal controls and procedures.

Jordan manages his resources efficiently to meet deadlines and where clients have specific requirements, he works closely with them to ensure these are both feasible and met in a timely manner. Jordan has clients in various sectors, ranging from international companies to smaller locally based businesses.

Wendy Tatham

Partner

Wendy joined the firm in 2015, after starting in finance for the NHS and then qualifying with another local firm of accountants. She brought with her experience across all areas, having previously managed payroll support, corporate and personal tax compliance and planning alongside other general practice elements.

Wendy works with clients across a range of sectors and enjoys supporting them with their statutory reporting, internal financial processes, corporate and personal tax planning and business advisory services. A key area of interest is working closely with her clients to support them with growing and restructuring their businesses to align with their long term goals.

In her spare time Wendy is the lead volunteer for Oxfordshire Scouts, supporting 95 Scouts groups across the county to deliver a fun programme of activities to young people aged 4 to 24.

Geoff Pinder

Corporate Finance Partner

Geoff has operated in the Mergers & Acquisitions and the corporate finance arena since 2004. He has held Executive roles leading and managing the performance and productivity of cross functional teams focused on delivering a high quality service to clients across complex portfolios.

Selling a business is a life changing event, and Geoff’s passion is working with businesses owners to help them explore the various exit options and strategies available to achieve their objectives, leading to excellent results for all stakeholders.

Geoff has been involved in over 500 deals across multiple industry sectors, working predominantly on the sell side of transactions, including sales to strategic buyers, private equity, and MBO’s.

Darren Green

Partner

Having grown up in North Oxfordshire, Darren joined The MGroup in 1999 as a trainee, qualified in 2003, and became a partner in 2010. Darren is best known for his ability to ‘go the extra mile’ for clients; even changing a flat tyre outside the office when it was discovered after a meeting, helping his clients to safely make their way home.

Aside from changing tyres, Darren enjoys helping clients to grow their varied and interesting businesses, and gaining insights into a wide range of sectors. In particular, he likes working within the corporate finance team, assisting with financial projections and due diligence for prospective buyers. Darren enjoys the challenging and pressurized nature of this type of work. Many of his clients are from manufacturing, technology or start-up backgrounds.

In his spare time Darren is a family man and he also enjoys sport, including football, skiing and running. He has taken part in a 26 mile walk for a cancer charity with colleague Geoff.

Peter Smith

Partner

Peter joined The MGroup in 1990 and became a partner in 1996. Originally from Wiltshire, Peter is a member of the Oxford Chamber of Commerce where he has been a Chamber council member for over 20 years.

Helping to provide a complete finance solution to companies is one of Peter’s key focus areas. He believes this to be a service that sets the partnership aside from its competitors, alongside The MGroup values and employees.

Peter provides financial mentoring, support with strategy and planning, solutions to increase profitability and improve cash flow, and help with expansion/diversification plans. His specialist interest areas include not-for-profit, healthcare and international organisations.

Peter enjoys the opportunities and challenges he is faced with every day at The MGroup and making a difference to clients’ lives. He is also a keen local charity supporter, regularly helping to raise funds and awareness for SeeSaw and SpecialEffect where he is an ambassador.

Outside of work, Peter is a Chelsea Football Club season ticket holder. He likes walking in the local area, especially if there is a pub or café at the end of the walk, and enjoys holidays in Devon, in particular to a secret escape in Dartmouth.

Richard Clayton

Partner

In 1984 Richard became the youngest ever partner at The MGroup at the age of 27 and is now the longest serving partner. Richard is a true team player, having been a prominent local footballer in his early years. He very much brings the team ethos to The MGroup who like to work as an integral part of their client teams.

Richard qualified in 1982 and has worked with many of his clients for decades, evidence of the excellent service provided by both Richard and the firm. Richard is proud of the firm’s exceptional reputation. He continues to develop new strategies and explore improvements to the services they provide and remains highly ambitious and committed. Outside of work Richard enjoys golf, football, spending time with his family and the very occasional glass of wine (normally accompanied by too much food!).

Richard has a depth of knowledge and experience in all areas of the construction industry and also deals with most of the firms agricultural clients. He also deals with a wide range of other clients which include a substantial number of UK subsidiaries of overseas companies together with a number of high profile local businesses. Richard is a firm believer that the role of a trusted accountant is to provide clients with the best possible advice and support. The client does not always have to follow advice but he believes they must have all options on the table to form a meaningful decision.