If you are in the market to buy a business, hiring an M&A intermediary will help you get the best deal for your dollar. Creating a strong buyer team is a good idea. However in order to ensure that the business of interest is everything that a seller says it is, we recommend that you hire other outside consultants to examine some of the most commonly overlooked ends of the business.
If the acquired company is software-based or heavily relies on technology, you might want to seek out the assistance of a tech consultant to test and confirm the technologies handed to you by the previous owner. This is highly recommended because many of the decision-makers are not programming experts, and you want to be sure that the seller’s software or hardware is as strong as the seller claims it to be.
If you’re acquiring land from a seller, or are entering a business in which you might be concerned whether it is located on contaminated land, hire an environmental specialist. Without being examined by a professional, like the Environmental Protection Agency (EPA), you could be held liable if the business is located on contaminated land.
Having a strong buyer team is essential. One of the most important consultants next to your M&A intermediary is your attorney. Be sure to always keep open communication between you, your intermediary, and your attorney. Doing so will help alleviate the many stresses that come with M&A deals.