When preparing to sell their fast-growing educational technology company, the founders of Clover Learning turned to their trusted advisors at Revel. They received expert guidance that simplified the complex buyer evaluation process and secured Qualified Small Business Stock (QSBS) tax benefits, shielding the founders from over $1 million in tax liability while efficiently completing the sale.
CLIENT
SNAPSHOT
- Business Name: Clover Learning
- Industry: EdTech, Diagnostic Imaging Training
- Annual Revenue Range: Generations ($5M+)
- Key Services Provided by Revel: Bookkeeping, Month-End Close, Forecasting, Sales Tax Compliance, AR Support, Quarterly Tax Planning, Corporate Tax Prep
THE CHALLENGE
Clover Learning faced two critical hurdles as they approached acquisition:
Managing an intensive due diligence process while their internal team balanced daily operations. The process demanded extensive documentation, multiple rounds of information requests, and meticulous financial reporting.
Minimizing tax exposure for the founders to preserve the value of their years of work building the company.
As a valued member of Revel’s Generations program, Clover needed their trusted advisor to provide both specialized transaction support and strategic tax planning during this pivotal moment.
THE
SOLUTION
Revel delivered comprehensive support tailored to Clover’s specific transaction needs:
Specialized acquisition expertise allowed Revel to quickly manage the complex due diligence process, freeing Clover’s team to maintain focus on running their business.
Strategic tax planning identified opportunities to apply Qualified Small Business Stock treatment to the sale, significantly reducing the founders’ tax burden.
Seamless collaboration with Clover’s team leveraged Revel’s experience from numerous similar transactions, providing clear guidance throughout each stage of the process.
As a member of Revel’s Generations program, Clover benefited from having advisors who understood their business goals and could immediately implement effective strategies during this critical milestone.
THE RESULTS
- Significant Time and Cost Savings
Reduced Clover’s internal workload by over 80 hours during due diligence, delivering expert guidance at a fraction of what additional staff would have cost. - Strategic Tax Advantages
Successfully implemented Qualified Small Business Stock (QSBS) treatment for the transaction, shielding millions in proceeds from taxation. - Maximized Transaction Value
Saved the founders hundreds of thousands of dollars in unnecessary tax payments, allowing them to retain more of the wealth they had built through years of entrepreneurship. - Confidence Throughout the Process
Provided the ownership team with clear guidance and peace of mind during each phase of this major business milestone.
“Revel took much of the diligence grind off our hands and then helped us use QSBS so a big chunk—millions—didn’t turn into taxes. That’s the part that really lands: we kept more of what we built with our team and investors.”
-Ari Blum, CEO, Clover Learning
YOUR NEXT STEP
Ready to protect more of your hard-earned money during your next business milestone? Revel’s team has helped entrepreneurs like you save hundreds of thousands in taxes while making complex transactions simpler. Let’s discuss how we can do the same for you.
