The Startup Magazine

AUGUST 15, 2022

In many cases, your advisor will identify key employees and create a business plan to help you find a buyer and negotiate the best price possible. However, you should be aware that some potential buyers may back out of the deal during due diligence. Identifying key employees. Source: Pixabay. Creating a business plan.

Merger 123

Merger Acquisition Due Diligence Valuation 123

YoungUpstarts

MAY 17, 2019

The employees depend on their expertise and training. The opportunity: Use this as a negotiating point when bargaining for the deal. If the business IS the business owner, then that person needs to be part of the deal. Structure the buy-out to include an employment contract or consulting agreement, as well as an earn-out.

Due Diligence 136

Due Diligence Forecast Deal Structure Valuation 136

Duct Tape Marketing

FEBRUARY 16, 2023

The government, for example, often defines small business by the number of employees. because a main street business creates the connotation in our head of that small mom and pop kind of business, maybe with a few employees. Let's talk about some of the deal structures you've seen. So I like the term main Street.

Technical Review 80

Technical Review Wisconsin Non-disclosure Agreement Salary 80

Both Sides of the Table

MAY 13, 2013

And wants to structure a huge payout for the employees that will remain. I know many rank-and-file employees. For the 200 new employees they’ll get through acquihires do they unleash 2,000 unhappy existing employees? And reward your existing top 10% of employees handsomely. Does Yahoo!

Liquidation Preference 357

Liquidation Preference Early Stage Retention Lock-up Period 357

YoungUpstarts

MAY 9, 2019

But if you care about your employees or are concerned about legacy, dive deeper into the potential buyers. By the same token, using a competent accountant for tax advice can help you maximize the deal structure to limit your tax exposure and maximize the cash potential in the sale. Consider Sticking Around.

Private Equity 101

Private Equity Equity Investment Bankers Government 101

A Smart Bear: Startups and Marketing for Geeks

JUNE 27, 2011

HIM: Yeah, in fact one of my best employees doesn’t like [big company] and has threatened to leave if we do it, which would make it hard to continue this growth. Deal B gets you only 80% of your number, but comes with a six-month transition period and you’re free to start working on the next fun thing.

Sales 235

Sales Term Sheet Stock Deal Structure 235

YoungUpstarts

NOVEMBER 13, 2012

The deal closed only four months later in August of 2012. They only had 13 employees! Negotiating a different deal structure could have prevented the price from dropping. Despite the success, there was one valuable lesson to be learned here. Unique social networking product. Rapidly growing market. Unprofitable.

IPO 162

IPO San Francisco Exit Strategy Startup 162