What Are The Ways To Merge Or Acquire A Business?
One way to merge or acquire a business is to buy the entirety of its assets instead of the company itself. But, merging or acquiring the assets (as opposed to merging and acquiring the shares or ownership interest) means that the stock or ownership interest is not transferable. Hence, the previous owners keep the company’s ownership.
So, the buyer must make a new entity (or have one already in place) to transfer the newly purchased assets. So, buying an asset can be beneficial when there are liabilities that the purchaser has no desire to take over.
For example, if a business is subject to a long-term lease, the buyer would not be under any obligation to continue the lease, whereas the stock purchaser would be obligated.
The benefits of having an attorney during a merger or acquisition include the following:
- They are knowledgeable about the law.
- They can guide the business during the process.
- They can negotiate with the opposing side if it is necessary.
How Would I Start A Merger Or Acquisition?
The first step in a merger or acquisition is identifying the target company. Identifying the target company can be done through research, networking, and other methods. Once you find a company to merge with or acquire, it is crucial to conduct due diligence to ensure that the deal benefits both parties.
Due diligence usually involves the following:
- Gathering financial information
- Reviewing contracts, and
- Assessing potential risks.
After completing due diligence, the parties can begin negotiations and drafting the necessary documents. So, it is vital to have a mergers and acquisitions claims lawyer involved throughout the process who provide sound legal advice on the transaction’s structure.
We help ensure all applicable laws are followed and assist with due diligence. Additionally, our lawyers can help to draft and negotiate the necessary documents, such as the purchase agreement and other related contracts.
Who Deals With Mergers And Acquisitions?
Business owners and investors are usually interested in expanding their business or portfolio of investments by mergers and acquisitions. But many business owners and investors need to understand mergers and acquisitions laws, so consulting with an experienced attorney specializing in this law field can only be beneficial.
Mergers and acquisitions lawyers specialize in the legal aspects of mergers and acquisitions. This includes due diligence, contract negotiations, regulatory compliance, and more. Accountants are also crucial for mergers and acquisitions as they can help with financial analysis, tax planning, and other financial considerations.
Also, investment bankers can be essential for mergers and acquisitions as they can tell you the best way to structure a deal, help with the negotiations, and help you raise capital.
How Long Does It Take To Have A Custom Merge Or Acquire A Business?
The timeline for a merger or acquisition can vary greatly. Depending on the complexity of the transaction and the parties involved, it can take anywhere from three days to six months.
At SG Law Group, our mergers and acquisitions lawyers will help guide you through each step of the process. Completing the process can take time because it involves due diligence, negotiations, drafting documents, obtaining necessary approvals, and the closing.
Who Plays A Large Role In Facilitating Mergers And Acquisitions?
Mergers and acquisitions are complex transactions requiring the involvement of various professionals. Lawyers play a crucial role in the process as they can provide legal advice on the structure of the transaction and help to ensure that all applicable laws are followed.
How Much Does a Mergers and Acquisitions Lawyer Cost?
A mergers and acquisitions lawyer’s costs will depend on the complexity of the transaction and the services required. Generally, lawyers charge an hourly rate for their services, but some may also offer flat or contingency fees. So, discussing all costs with your lawyer before beginning the process is important.
Besides legal fees, other costs may be associated with a merger or acquisition, such as due diligence, accounting fees, and other professional services.
Why Choose Our Firm To Assist In Your Merger Or Acquisition Of A Business?
The merger and acquisition claims attorneys at SG Law Group will make sure an asset purchase is a proper method for your merger or acquisition before starting the merging and acquiring process. We also consider future liability and tax implications and advise you on such.
Contact Mergers And Acquisitions Claims Attorneys At SG Law Group Today
Mergers and acquisitions claim attorneys are essential for any business owner or investor looking to expand through a merger or acquisition. At SG Law Group, we can provide legal advice on the process and help with due diligence, contract negotiations, and closing.
For more information on how our Mergers And Acquisitions Attorneys can help you, scheduling a consultation is your next step. Contact our Miami, FL office today at (305) 606-6139 or our Coral Gables, FL, office at (305) 285-3042.
Hire an affordable, professional Attorney to properly merge your business or acquire another business Today!
- Closing And Transitioning A Merger And Acquisition
- Meeting Between Parties In A Merger Or Acquisition
- Creating And Reviewing An Offering Document
- Establishing The Valuation And Financing Of A Business
- Due Diligence On Mergers & Acquisitions
- Initiating Mergers & Acquisitions In Florida
- Navigating The Process Of Merger And Acquisition
- Essential Components Of A Franchise Agreement
- Important Things To Evaluate Post-Merger Or Acquisition
- Business Mergers & Acquisitions In Florida