Mergers & Acquisitions

Competitor Acquisition, Market Share Realignment

Starting a company is a daunting task.  It takes a lot of blood, sweat and tears to grow into a successful business. In critical times, an owner may seek to expand his footprint and purchase his competitors, perhaps securing a stronger market position or reducing overlapping costs. Alternatively, an owner may see an ideal time to sell to a competitor, or turn over the reins to the younger generation or key employees. Either way, what is necessary is thoroughly identifying what you have to offer and pricing it fairly.  Having all of your trusted advisors at the table is crucial. This includes attorneys, accountants, insurance agents, investment advisors, and more.  Whether you are buying or selling, at the end of the proverbial day, you want to ensure that the essential terms such as price, noncompetes, and employment agreements essential for the transition are well-drafted and thought out.  Mergers & Acquisitions is an area where both financial and legal issues come into play and must be addressed head on.  From crafting the Letter of Intent to signing the final Agreement, financial statements and tax returns must be scrutinized. Market share, intellectual property rights, and synergies must be defined. Analysis of terms for one-time payments or performance-based payments are critical for both sides. Valuation of the assets are pivotal. The importance of retaining the company talent after the transaction cannot be understated.  Equally, it cannot be overstated how important it is to start off on the right foot.

Contact Kerkstra Law Offices, LLC (312.285.9147) for valuable guidance in maximizing the benefits derived from the fruits of your labor.