The M&A Process

The M&A Process

The M&A process has a number of distinct stages and typically takes 6 to 10 months to complete.

The M&A Process

Finding the Right Buyer

Finding the Right Buyer

There are strategic and financial buyers. The right buyer is the one that benefits the most from the purchase.

Finding the Right Buyer

Terminology and Documentation

Terminology and Documentation

Before proceeding down the M&A path it is worthwhile familiarizing yourself with the terminology and typical documentation used in the process.

Terminology and Documentation

When is an MBO a Good Idea?

MBO stands for Management Buy-Out and describes one alternative for an owner-entrepreneur to exit his or her business.  Management can range from an experienced arm’s length team to family members who are active in the business. The advantages of an MBO include: Low Transition Risk The buying managers know how to run the business.  Management…

Shares Versus Assets: It is Mostly About Minimizing Net Taxes

Company acquisitions can be in the form of a share purchase or an asset purchase.  Both can accommodate the full transfer of a going concern business.  The fundamental difference is that in a share sale, the shareholders sell their shares and receive the proceeds personally (i.e. the legal entity that owns the assets changes hands)…

Have Your Cake and Eat it Too: A PE Case Study

Many owner-entrepreneurs are cautious about exploring the benefits and opportunities Private Equity (“PE”) can bring to a growing business.  To summarize some general characteristics, PE investments are typically: –       Control positions ranging from 51% to 100% equity –       Held for five to seven years –       Part of a strategy to grow a strong competitive position in…