{"id":2702,"date":"2021-03-03T17:18:42","date_gmt":"2021-03-03T17:18:42","guid":{"rendered":"https:\/\/duganlopatka.com\/?p=2702"},"modified":"2021-08-17T14:26:48","modified_gmt":"2021-08-17T14:26:48","slug":"mergers-acquisitions-how-to-get-deal-ready","status":"publish","type":"post","link":"https:\/\/www.duganlopatka.com\/mergers-acquisitions-how-to-get-deal-ready\/","title":{"rendered":"Mergers & Acquisitions: How to Get \u201cDeal-Ready\u201d"},"content":{"rendered":"

Whether or not your company is on the verge of buying or selling, you should take steps now to prepare for future deals. The reality is that mergers and acquisitions<\/a> (M&A) are now a regular part of doing business, and investing some time and careful planning upfront can make the difference between a successful deal and a huge headache.<\/p>\n

When the time comes, you\u2019ll be glad you prepared.<\/p>\n

The Deal Climate<\/span><\/h3>\n

Today, most middle-market companies eventually buy or sell. Each year, about 25% of these companies acquire or sell a business, making M&A a major growth driver.<\/p>\n

And not all deals are pre-planned. While most happen when a business is looking to buy or sell, it\u2019s common for an opportunity to unexpectedly present itself and business leaders to capitalize on the moment.<\/p>\n

M&A deals are happening all the time<\/em>. But that doesn\u2019t mean that middle-market executives are M&A experts. In fact, most admit that they have extremely limited M&A experience, which can lead to bad deals and unexpected challenges down the road.<\/p>\n

\"Mergers<\/p>\n

In a recent study, the National Center for The Middle Market<\/a> and Ohio State University surveyed 400 middle-market business executives who had undergone mergers and\/or acquisitions over the last three years. M&A is key to the success of these business. However, as you can see, most of the executive surveyed lack significant M&A experience.<\/p>\n

\u00a0Most Middle-Market Execs Lack M&A Experience<\/h4>\n

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Source: National Center for The Middle Market & Ohio State University.<\/em><\/p>\n

\u201cAs a result of this inexperience, middle-market executives fail to drive the best bargain, or may encounter unexpected challenges,\u201d according to the study.<\/p>\n

But that\u2019s not to put the blame on business executives. The fact is, managing M&A is extremely complex. Striking the right deal requires a vast range of expertise.<\/p>\n

Common Challenges for Buyers and Sellers<\/span><\/h3>\n

Executives know their business better than just about anyone. But that doesn\u2019t mean that they have the tools, knowledge or resources to pull off a successful M&A on their own (though many try).<\/p>\n

Mergers and acquisitions are common, but they\u2019re deceptively complex. Let\u2019s take a look at some of the top challenges for buyers and sellers.<\/p>\n

Buyers Say These are Some of the Toughest Parts of M&A<\/h4>\n

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Source: National Center for The Middle Market & Ohio State University.<\/em><\/p>\n

For Sellers, These are Some of the Biggest Challenges<\/h4>\n

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Source: National Center for The Middle Market & Ohio State University.<\/em><\/p>\n

Buyers & Sellers Agree: These are the Most Difficult Aspects of M&A<\/h4>\n

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Source: National Center for The Middle Market & Ohio State University.<\/em><\/p>\n

How to Get Deal-Ready<\/span><\/h3>\n

Being \u201cdeal-ready\u201d means that, whether or not you\u2019re actively buying or selling, your company is ready for a successful M&A. Here\u2019s what you can do to prepare:<\/p>\n