Integrating a business acquisition most often is a race against time. Even before the deal closes, the combination of uncertainties about jobs, the second-guessing of important investment decisions and project delays caused by distractions from the due diligence process begin to take a toll on the target’s operations, and consequently, on its value.
This article explores three specific actions that acquirers can implement to minimize value erosion in business acquisitions and ensure a successful transaction.

For a prospective buyer, the value of a business is based on its potential to generate enough cash flows to enable the buyer to recuperate the original investment and realize a given rate of return. Of course, the business’ past performance will provide anecdotal evidence about the enterprise’s potential to generate the earnings necessary to […]