The Startup Magazine

AUGUST 15, 2022

There are many benefits of selling your startup through a mergers and acquisitions advisor. However, you should be aware that some potential buyers may back out of the deal during due diligence. You may also want to consider their future roles, as their compensation and benefits package may change once the acquisition is complete.

Merger 131

Merger Acquisition Due Diligence Valuation 131

YoungUpstarts

MAY 14, 2018

Of course, these are important ingredients to growth, but the – perhaps unconventional – truth is that this kind of growth can be riskier and less compelling to investors than growth through acquisition. Structuring the Desired Deal. A desired deal is one that is engineered specifically with the big picture in mind.

Acquisition 124

Acquisition Finance Raleigh Mezzanine 124

Both Sides of the Table

MAY 13, 2013

But the press (and I suspect many of the senior execs of these companies) don’t really explore the corrosive downside of these acquisition. If I don’t commit to millions of dollars of acquisitions I will … die? So I thought I would. But that’s not how you make money in the venture capital business.

Liquidation Preference 357

Liquidation Preference Early Stage Retention Lock-up Period 357

Scott Edward Walker

FEBRUARY 9, 2020

It matters because, unless you understand the motivation of a prospective buyer, it will be very difficult to make informed decisions with respect to critical deal issues. How Is the Deal Structure Different with a Financial Buyer? If you have never done a deal with a financial buyer, you are in for a rude awakening.

Private Equity 59

Private Equity New York City Equity Deal Structure 59

YoungUpstarts

NOVEMBER 13, 2012

eBay was ultimately unable to generate sufficient profits and synergies from the acquisition. Negotiating a different deal structure could have prevented the price from dropping. For many, selling their startup to a company that retains their services after the acquisition can provide the best of all worlds. Unprofitable.

IPO 162

IPO Exit Strategy San Francisco Startup 162

Scott Edward Walker

DECEMBER 13, 2018

An acquihire is essentially the acquisition of a startup for its talent/team (rather than for its products or services). How is the Deal Structured? Acquihires will typically entail the same process and the same documentation as any other acquisition: a letter of intent, a confidentiality agreement, a purchase agreement, etc.

Founder 45

Founder Merger IP Liquidation Preference 45

Jeff Hilimire

MARCH 4, 2014

Get to know the people you’ll be working with post-acquisition. It’s easy to get caught up in the dollar signs and deal structure and overlook this important step in the process. There is only so much you can share with your employees when working on an acquisition of your business. This is a tricky one.

Private Equity 61

Private Equity Acquisition Deal Structure Sales 61