Mergers and acquisitions can have an effective place in helping an entrepreneur either grow their business or for an exit strategy.
So in the growth of a business, mergers and acquisitions are important, either for growing a customer base, expanding a geographic area where the business will be operating, or coming up with some sort of new complementary technology that the company needs to have to move things on forward.
On the back end, as the company has grown and scaled, mergers and acquisitions become an effective strategy for an exit, because it gives the entrepreneur a way to create a moment in time when everybody can harvest the upside of all the work that they’ve done. And nowadays, the opportunity to do public stock offerings is much less, so the most likely exit for most entrepreneurs nowadays is to sell their business to a private equity buyer or to a publicly-traded entity. In other words, somebody who is either interested in the financial opportunity that comes with your business or somebody who thinks strategically it fits well with their business. Please contact Avisen Legal today for more information!