Investment Bankers often forget that their “expertise” is not unique. First impressions are critical. Entrepreneurs have long memories. Service providers ought not take the attitude that they are being put out of their way, that they are doing the client a favor. Software platforms powered by AI, Machine Learning and workflow software are poised to automate and replace many I-Banking functions without the arrogance, laziness and boondoggle activities.
Exorbitant I-Banking fees whether they be IPO, M&A or SPAC related are sure to face further compression as advanced technologies validate deal participants, facilitate capital sourcing, facilitate deal sourcing, deal financings, deal execution, deal marketing and more. Firms that are well-positioned to deliver these services include Intralinks (tkr: SSNC), Factset (tkr: FDS), Goldman Sachs (tkr: GS) and yours truly at CEORater if things break right.