Chipman, Mazzucco, Land & Pennarola, LLC

How to make a company an acquisition target

In 2017, there were $2.7 trillion in business acquisition deals, and that number is expected to climb to $3.2 trillion in 2018. Large companies may be interested in acquiring startups in Connecticut and throughout the country as a means to quickly grow their businesses. While this was once a strategy employed mostly by tech companies, other organizations also use this tactic these days.

Business owners who want to be acquired by a large company may increase their odds of being purchased by showcasing their talent. When their businesses are acquired, they may be retained to run the company as a division or category within the new parent company. Other ways to get the attention of bigger companies is to create a platform or a technology that the larger business doesn't have access to.

If a company has a strong brand, it may make it a target for larger companies looking to expand. The company that acquires the brand name may have the ability to expand its product line without spending a lot of time or money on customer acquisition efforts. Finally, if a startup can provide an established company with a way to find a new set of customers, it may be seen as an attractive acquisition candidate.

If a startup company is the target of a friendly acquisition, it may represent an opportunity to either cash in on equity or exit the company. In some cases, it may represent an opportunity to work for a larger company. Regardless of why the company is being acquired, it may be wise to go through the process with the help of an attorney.

No Comments

Leave a comment
Comment Information
Email Us For A Response

Schedule Your Consultation

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Chipman, Mazzucco, Land & Pennarola, LLC
44 Old Ridgebury Road
Suite 320
Danbury, CT 06810

Phone: 203-501-1712
Fax: 203-790-5954
Fax: 203-744-5371
Map & Directions