Term of the Day

Unilateral NDA

A unilateral non-disclosure agreement (NDA) is a legal document used by one entity when it wants to safely share confidential information with another entity usually for the purposes of an M&A... (Read on)

Past Terms: Hostile TakeoverLiquidityClosing Memorandum

Latest Question

Receiving consideration other than cash is not uncommon. In fact, it is very rare that vendors receive all cash for their business. Different forms of non-cash consideration... (Read on)
Six Critical KPIs That Drive Business Value in the Automotive Aftermarket Industry

Drilling down to the nuts and bolts of financial management analysis offers significant insight on driving business value. 
Tying the Knot: Getting to 'I Do' with the Right Private Equity Partner

Partnering with a private equity firm is a bit like getting married. Here is some advice on how to choose "the one." 
How to Perform a Successful Competitor Analysis (and Use it to Your Advantage) to Maximize Value

The results of a competitor analysis can ultimately help your business to maximize its value through the eyes of a potential acquirer. Here's how to perform one. 
28 Skeletons You Must Air Out to Avoid Problems Selling Your Business

Companies are better off understanding their financial skeletons and airing them out, rather than sweeping them under the carpet. Here are 28 skeletons you should definitely air out. 
How to Increase the Probability of a Successful Exit

Have you defined what a "successful" exit actually looks like? Do you have a realistic goal for when you want to sell the company and how much you want to sell it for? 
Work Smarter Not Harder at Creating Business Value

Excerpts from the book Time Really Is Money: How To Work For $5,000 Per Hour, Burn the Boats Press. 
How Industry Consolidation Can Impact a Business Exit

Have you considered the stage of consolidation in your industry and how that might impact your plans for an exit? 
The Exclusive Negotiations Fallacy

It is a common fallacy that an exclusively negotiated deal is faster, easier and quieter than a structured process. In reality, the acquirer with exclusivity rarely moves with urgency. 
Deal Structures Through the Eyes of an Acquirer

In many cases, the sellers of a business (and even their intermediaries) will have no idea how the buyer has financed the acquisition. Here we take a look inside a few actual mid-market deals to learn more. 
Forewarning on Proprietary Deals

Examining the pitfalls of a proprietary deals from the sellers’ viewpoint. Even if a seller deals with a single buyer, he or she is well-advised to get good financial and deal advice. 
Seven Questions for Highly Effective Business Transitions

We are in the midst of a demographic tsunami with respect to business ownership transition. Will you as a business owner be ready? If you are an adviser, will your clients be ready? 
Neutralizing the Due Diligence Grind

Initial indications can be tactically inflated to ensure the acquirer gains access to your confidential information after which this price is systematically reduced, citing negative findings during due diligence – also known as “The Due Diligence Grind”. 
Acquisition Growth Strategies for Middle Market Companies

Podcast with John Bly, author of "Cracking the Code: An Entrepreneur’s Guide to Growing Your Business Through Mergers and Acquisitions for Pennies On The Dollar". 
Building Your Business through Acquisition

Understanding different ways that owners have utilized capital structure to enhance the growth of their business and eventually their exits. 
The Initial Price May Not Be Real

“The Due Diligence Grind” is often practiced by sophisticated acquirers to reduce the purchase price of a business, by citing negative findings during due diligence. This article takes a closer look at the ways a prospective buyer may try to grind down t 
Real Economic Value in Driving Corporate Culture

If you could purposely - not accidentally but purposely - create the culture that had the highest probability of causing your people to perform at the highest levels, wouldn’t it make total sense to do that? 
Keys to Finding Happiness After Selling Your Business

Bo Burlingham's book, Finish Big, summarized his research with entrepreneurs on the keys to a successful and happy exit from a business. 
Minimizing Inevitable Risks in the Sale Process

To ensure that the window of vulnerability is as short as possible, it’s critical to thoroughly prepare for a structured, competitive transaction process. 
Avoid These Four Mid-Market Deal Killers

Few experiences in business are more harrowing than having a deal to sell your company fall apart. While the ups and downs of a deal are inevitable, having your transaction get permanently derailed is not. 
Preventing Seller’s Remorse in a Mid-Market Deal

How to prevent seller’s remorse and leave your business feeling positive about the process. 
The Window of Vulnerability in an M&A Transaction

In every sale transaction, there is a “window of vulnerability” for the seller that starts with the initiation of sale discussions with a potential buyer and ends with the closing of the sale. Three key risks present themselves during this window. 
The Four Stages of an Exit

Excerpts from the book Finish Big: How Great Entrepreneurs Exit Their Companies on Top. Penguin Publishing Group. 
Making Business Valuations Affordable, Accessible and Real-Time for the Middle Market

In the past, knowing the real-time value of your private businesses was impossible. BizEquity is changing that by democratizing business valuation for the Small and Midsize Business marketplace. 
How to Double the Value of Nearly Any Business

A framework for increasing the value of any business by transforming it into a thriving, turn-key operation. 
Choosing the Right M&A Attorney When Selling Your Mid Market Business

A common sense approach for CEOs to follow when selecting the right M&A attorney for their deal. 
Confronting Yourself: The Emotional Journey of Selling Your Business

For many entrepreneurs, the hardest part of selling their business is wrestling with their own emotions. Here are some tips for successfully navigating a sale. 
Protecting Confidential Information in an M&A Deal

The average cost of a data breach is $3.8 million globally. Are you doing enough to protect confidential corporate information during your M&A deal? 
Build and Exit a Billion Dollar Business

Many entrepreneurs dream of building and exiting a billion dollar business. Learn how to from Terry Freeman, an entrepreneur who has done it before. 
Maintaining Confidentiality When Selling a Mid-Market Business

One of the biggest fears when sell a business is breach of confidentiality. You never want your employees, customers or competitors to know before the time is right. Here are four tactics to manage confidentiality in a mid-market business sale. 
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Liquidity is the ease of converting tangible assets into cash and it has different connotations for different situations and contexts. However, in general, high... Read more 

Hostile Takeover

A hostile takeover is a type of merger and acquisition where one company, called the acquirer, takes control of the ownership of another company, called the target... Read more 

Unilateral NDA

A unilateral non-disclosure agreement (NDA) is a legal document used by one entity when it wants to safely share confidential information with another entity... Read more 

Rate of Return

Rate of return is defined as the amount of money that an investment earns by way of interest, dividend or any other form of cash flow. This return is obtained by... Read more 

Burn Rate

Burn rate is the speed at which a startup company uses its existing finances for overhead expenses before it can generate a positive cash flow. In general, it is... Read more 
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