Crystal balling the future of M&A
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What if any will change the way M&A is done going forward? Will it remain status quo or will it evolve? Why?
Interesting question. I think parts of the M&A process will definitely evolve, especially around how technology helps manage large amounts of data more efficiently during due diligence. That said, I believe the fundamentals will not change substantially. The need for experienced people to assess deal fit, negotiate terms, and think through integration will always be critical. One area I do see getting more attention is cultural and personnel diligence and that this will occur earlier in the process. A lot of deals that look good on paper can run into trouble post-close if that part isn’t well understood upfront.
I believe that M&A will change for smaller business in that it will become more common for micro and small businesses to be bought and sold. I feel that consolidation will also continue to become more common, particularly in the SME space.
For sure there will be more tools to use in the future and AI will make financial due diligence easier in time but people will always be at the core of the deals and their success and/or failure and this cultural due diligence as Jennifer mentioned will be key.
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