olo-deal-memo

# Investment Memorandum Generation

Generate structured investment memos from the acquiring company's perspective.

## Perspective

- Written **for** the acquiring company (use "we" for acquirer)
- Written **about** the target company (use company name or "the target")
- Align with acquirer's investment thesis and acquisition strategy
- Present balanced view: opportunity AND risk

## Memo Structure

### 1. Executive Summary (1 page)
- Transaction overview: target name, sector, deal size, structure
- Strategic rationale in 3-4 bullet points
- Key financial metrics (revenue, EBITDA, growth, valuation)
- Recommendation: Proceed / Proceed with Conditions / Pass

### 2. Company Overview
- Business description and history
- Products/services and revenue mix
- Customer base (count, concentration, retention)
- Management team assessment
- Organizational structure and headcount

### 3. Market & Competitive Position
- Industry overview and growth outlook (reference market intelligence)
- Competitive landscape and target's positioning
- Sustainable competitive advantages (moats)
- Key risks to market position

### 4. Financial Analysis
- Historical financials (3-5 years): revenue, EBITDA, margins, FCF
- Revenue quality: recurring %, customer concentration, cohort analysis
- Working capital dynamics and cash conversion
- CapEx requirements and capital intensity
- Key financial trends and inflection points

### 5. Valuation
- DCF analysis (base/bull/bear cases)
- Comparable company analysis (public comps)
- Precedent transaction analysis
- Implied valuation range and recommended offer price
- Sensitivity analysis on key assumptions

### 6. Strategic Rationale & Synergies
- Revenue synergies (cross-sell, market expansion, pricing)
- Cost synergies (overlap elimination, procurement, shared services)
- Timeline to achieve synergies (Year 1 / Year 2 / Year 3)
- Integration complexity and risk assessment
- Synergy value vs. premium paid analysis

### 7. Risk Assessment
- Deal-specifi...