Deal Flow

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Dictionary Says

Definition of 'Deal Flow'

The rate at which business proposals and investment pitches are being received by financiers such as investment bankers and venture capitalists. Rather than a rigid quantitative measure, the rate of deal flow is somewhat qualitative and is meant to provide an indication of whether business is good or bad. The state of the economy has a significant influence on the level of deal flow. Economic expansion and robust equity markets will usually generate healthy deal flow for most financiers, while a recession and/or sluggish equity markets may generate some deal flow for only the most established players.
Investopedia Says

Investopedia explains 'Deal Flow'

Deal flow can comprise many different types of proposals: venture funding, private placements, syndications, initial public offerings (IPO), mergers and acquisitions. While large investment banks can handle most of these activities, specialist financiers such as venture capitalists and angel investors will generally focus on deal flow only in their area of expertise.

While deal flow can be generated from a number of sources, the proposals that are likely to garner the most attention are the ones from companies or entrepreneurs where a previous investment has been successful, or where there is a solid existing relationship. On the other hand, unsolicited proposals from untried entities are likely to be given short shrift by most established financiers.

Search results for

'Deal Flow'

  • 8 Reasons M&A Deals Fall Through

    http://www.investopedia.com/articles/stocks/09/eight-ma-mistakes.asp
    ... (For more on this logic, see Why do companies issue bonds instead of borrowing from
    the bank?) Pitfall No.4: The company appears to have healthy deal flow. ...

  • What Is Private Equity?

    http://www.investopedia.com/articles/financial-careers/09/private-equity.asp
    ... acquisitions (M&A) intermediaries, investment banks and similar transaction
    professionals in an attempt to secure both high-quantity and high-quality deal flow ...

  • Private Equity Providing Big Returns

    http://stocks.investopedia.com/stock-analysis/2010/Private-Equity-Providing-Big-Returns-PSP-ACAS-AINV-FIG-OCX0309.aspx
    ... Deal Flow Investopedia's Arthur Pinkasovitch wrote in February that private equity
    firms are doing more deals now that consumer spending is slowly expanding ...

  • How To Make $1 Million In Finance

    http://www.investopedia.com/articles/financialcareers/08/make-million.asp
    ... on road shows for the purpose of raising pools of investment capital; Securing deal
    flow from investment banks, intermediaries and transaction professionals; ...

  • Silgan Packs Away Another Deal

    http://stocks.investopedia.com/stock-analysis/2011/Silgan-Packs-Away-Another-Deal-SLGN-GRM-BLL-CPB-DLM-PEP-KO0414.aspx
    ... supplier relationships measured in decades of years, consistent margins and cash
    flow and consolidation potential. With that in mind, the deal between Silgan ...

  • How The Big Boys Buy

    http://www.investopedia.com/articles/stocks/07/mergers.asp
    ... deal sourcing executives are also looking to accounting firms, lawyers, stock brokers,
    estate officers, consultants and financial advisors to source deal flow. ...

  • What Makes An M&A Deal Work?

    http://www.investopedia.com/articles/financial-theory/08/ma-deal.asp
    ... Whatever reasons drive a particular deal, mergers and acquistions (M&A) are considered ...
    and when the business combination increases the net cash flow of the ...

  • Understanding Liability-Adjusted Cash Flow Yield

    http://www.investopedia.com/articles/fundamental-analysis/11/understanding-liability-adjusted-cash-flow-yield.asp
    ... Investors, particularly those who call themselves value investors, place a great
    deal of emphasis on a company's ability to produce free cash flow and the ...

  • A New World For Bond Investors - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0611/A-New-World-For-Bond-Investors.aspx
    ... A New World with New Risks Bond investors have always had to wrestle with
    risks like default, inflation, deal flow and reinvestment. ...

  • 7 Steps To A Hot Commercial Real Estate Deal

    http://www.investopedia.com/articles/mortgages-real-estate/09/tips-commercial-real-estate.asp
    ... That paves the way for greater cash flow. ... Map Out a Plan of Action Setting
    parameters is a top priority in a commercial real estate deal. ...

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