Before a willing buyer or seller can complete a transaction, the valuation of the business must be completed to discover the fair market value. 

Mergers can take place between many different types of companies in order to increase revenues, efficiency, etc. No matter what type of merger is done between two companies, the result is always to better the company.

 

 

Two businesses that appear to have very similar revenue and profits can have considerably different market values. It is not unusual for 50% or more of an operating business’s value to be based on intangible assets such as goodwill, intellectual property, licenses, location, etc.