As your business grows there may be opportunity for you to accelerate growth through either a merger or an acquisition, whether that be by looking to merge with or acquire businesses which are competitors, or by looking for opportunities at different points in the supply chain.
Mergers and acquisitions can be complex and involve many legal and commercial issues, which aren’t always obvious.
Some of the elements which must be considered include:
- What you aim to achieve with this transaction and whether the transaction will meet that objective
- Identify exactly what it is you are buying or what each party brings to a merger
- Are there any taxation implications?
- What are the liabilities of the business, and will this transaction affect those liabilities?
- What happens to employees in the business?
- What will happen with the intellectual property of each party?
- Will the entity/individual you are purchasing a business from be required to agree to a restraint of trade?
- How will you deal with confidentiality and privacy issues?
The issues relevant to your business must be considered in the context of your individual situation. If you’d like help to negotiate and navigate through your merger or acquisition get in touch with one of our business experts today and we’ll guide you through the process.