M&A transactions

Selling a company tends to be a long process that takes a couple of months. In practice, it starts much earlier than the actual negotiations with the buyer. That is when the business owner can make mistakes that will cost them dearly. What are these traps and how can they be avoided?

If the seller wants to land a good price and the buyer wants to avoid overpaying, the transaction of selling a business must be supported with a reliable valuation of the acquired company. But who should do it and how should it be done in order for the valuation report to be credible?

Locked box is a formula for closing M&A transactions that is proving increasingly popular in recent years and tends to replace completion accounts. What is essential for the locked box arrangement is that the transaction price is determined on the basis of the historical balance sheet at a pre-signing date and is not then subject to any post-completion adjustment.

Mergers and acquisitions have been the basis of corporate development for the past one hundred years. An increase in trust and an improvement of the company situation, as well as access to sources of stable funding have contributed to a significant expansion of the global perspective within the area of M&A. An economic crisis is also conducive to the processes of company consolidation.