Integration 1 year later…

Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • #69599
    Sarah Miller
    Participant

    Ideally, due diligence should be done ahead of a deal closing and in the early stages after closing with intention and preparation. How would you advise a company that has historically taken a light integration approach for the first year after acquiring a company to proceed?

    Also how do you balance assuming the financial risks and outlook of a smaller company acquisition with the reward? Often times, smaller companies don’t have good financials and financials are misrepresented and not well understood.

    #71291
    Jeff Sewell
    Participant

    I would advise the company to adjust it’s integration timeline based upon the particular M&A. Longer time lines are needed when certain elements exist such a labor contracts, a company that is doing very well on it’s own, additional integration capital needs, etc… However, short time lines are needed when the company needs help now, or if the deal needs immediate value returned. So, look at the various scenarios and be prepared to adjust time lines as needed.

    With regards to smaller companies supplying accurate records I would base the M&A agreement/terms sheet on specific performance criteria with specific remedies if there is inaccurate information supplied or if records are falsified. This is pretty standard but trickier than it seems!

Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.

Are you sure you
want to log out?

Book a Demo

Book a Demo

Contact us to discuss your goals and needs!

Contact us to discuss your goals and needs!

Request a Brochure

Request a Brochure

Contact us to discuss your goals and needs!

Contact us to discuss your goals and needs!

In order to become a charterholder you need to complete one of the IMAA programs