Looking Beyond Price in Mergers & Acquisitions

Looking Beyond Price in Mergers & Acquisitions

Corporate acquirers and vendors often focus primarily on obtaining the best price when negotiating the purchase or sale of a business. However, the ‘best price’, being the lowest price in the case of the buyer and the highest price in the case of the seller, may not...
Determining the Cost of Capital for an Acquisition Target

Determining the Cost of Capital for an Acquisition Target

The cost of capital refers to the discount rate or capitalization rate that is used by corporate acquirers in assessing the value of an acquisition target, and in determining the price the acquirer might be willing to pay. In acquisition analysis, the cost of capital...
Creating Shareholder Value in Turbulent Times

Creating Shareholder Value in Turbulent Times

Most business owners and corporate executives have adopted a “defensive” posture and are focused on controlling costs, managing cash flow and developing contingency plans in the event that the downturn gets even worse. While these things are important, business owners...
Buying a Business -Avoiding the “7 Deadly Sins”

Buying a Business -Avoiding the “7 Deadly Sins”

Business owners and executives sometimes look to acquire another company as a means of growing their business. While corporate acquisitions can help in achieving growth objectives, it is important to avoid those things that can significantly erode shareholder value,...
Acquisition Opportunities Are Plentiful

Acquisition Opportunities Are Plentiful

Business owners and executives often look to corporate acquisitions as a key component of their company’s growth strategy. But where can attractive opportunities be found? There are numerous types of acquisition opportunities that may not be readily apparent....