Buy and build is a growth strategy where one organization buys a platform company with an excellent management structure, and uses the skills and capabilities of this company to add on more businesses. The idea behind this strategy is to increase the profitability of the group as a whole by… View Full Term
Trending Terms
Divestopedia Terms
Connect with us
Subscribe To Our Newsletter
By clicking sign up, you agree to receive emails from Divestopedia and agree to our Terms of Use and Privacy Policy.
An earnout is a financing arrangement for the purchase of a business in which the seller finances a portion of the purchase price, and payment of this amount is…
By: George Deeb
About the HostRyan is an entrepreneur, podcast host of the show Life After Business and the co-owner of Solidity Financial. Having personally experienced the hazards of…
By: Ryan Tansom
In most of the M&A deals that I am involved in, working capital is one of the most complicated areas to navigate when trying to close a transaction. Here are the…
By: John Carvalho | President, Divestopedia Inc.
The odds of successful acquisitions are dismal. A Federal Trade Commission paper says 50% of deals for companies, large and small, are not successful. This is troubling…
By: Robert Sher
I have to admit that I spend an abnormal amount of time thinking about M&A transactions. I obsess over different deal structures for my clients. I wake up in the…
Hindsight is 20/20, but for the seller of a business, it could be a very costly lesson learned. By the time a seller realizes that his purchase and sale agreement has a…
By: Peter Ferrari
In Part 1 of this article, I described the need for both investors and business owners to perform an operations due diligence and the role of these assessments. In Part…
By: Jim Grebey | President
In the recent past, I was retained by a Fortune 100 company to participate in seminars given to their leading dealers from around the nation. As I recall, all but two of…
By: Chris Mercer
One of the most critical business decisions an entrepreneur ever makes is selecting an M&A attorney for selling their middle market business. Over the years I have…
By: Peter Alternative
How much cash a seller walks away on an after-tax basis when a deal is closed will always impact the outcome of a transaction. There are some common tax strategies that…
By: LB&A Certified Public Accountants
Negotiating working capital is one of the most contentious issues in closing a deal. That's because determining the amount of sufficient working capital needed to…
By: Divestopedia Team
Subscribe To the Divestopedia Newsletter!
Stay on top of new content from Divestopedia.com. Join one of our email newsletters and get the latest insights about selling your business in your inbox every week.