Understanding Structure as part of an M&A Transaction
We're diving into a lot of different structures and what they mean:
- Theres a big correlation between higher enterprise value and the structures you can have
- Earn outs need to focus on your company's growth goals with defined targets
- You have to earn out your earn out!
- Earn outs can lead to higher enterprise values
- Timing of payments should align with return on investments
- Seller notes: are they guaranteed payments? Should they be tied to performance?
- Equity is a strong tool and is the largest wealth creation tool within the other structures
- Cash is a great way to show that you believe in the business
- Creativity wins!
- Work with an advisor that understands EVERYTHING in your industry and market
Listen to Shoot the Moon on Apple Podcasts or Spotify.
Listen to Shoot the Moon on Apple Podcasts or Spotify.
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