Business Blog

Fourth Thing You Need to Consider Before Merging.

Avoid Crucial Mistakes.

Before negotiating and signing a letter of intent, seek legal and accounting advice. According to Breland, a seemingly “non-binding” letter of intent often includes binding provisions that can cause difficulties when negotiating the definitive agreement. When a letter of intent includes language such as “best efforts” and “good faith,” the parties are leaving it up to a judge or jury to interpret what that means.

First Thing You Need to Consider Before Merging.

Get the Facts Straight.

Are you getting what you think you are? For example, if you’re after the other company’s business contacts and relationships, you’ll have to retain key people after the deal. If the attraction is economies of scale, then cost must be taken out of the system immediately, advises Lynore Abbott, founder of Logical Marketing, who has participated in the acquisitions of several small technology businesses. Determine where the fat is and how best to cut it. “Visualize the combined operation before the agreements are prepared. Often, these important issues are overlooked until after the deal is done and everyone is looking for ways to contain overhead and reduce expenses,” says David Levy, a litigator at Kleinberg, Kaplan, Wolff & Cohen.

“The small-business owner must nail down the key assets in the merger and make sure they are locked up and protected,” warns Quin Breland, an attorney who specializes in M&A at Baker, Donelson, Bearman, Caldwell & Berkowitz. “Do the key assets include an important piece of technology? A prime market? The merger’s definitive agreement and ancillary documents should protect those key assets both prior to and after the merger.”

Read the full article at: http://blog.intuit.com/money/5-things-you-need-to-know-before-merging/

Patty Block, President and Founder of The Block Group, established her company to advocate for women-owned businesses, helping them position their companies for strategic growth. Charting the course for impactful, sustainable, profitable businesses, the beacon is control: of your strategic direction, your money, your time, your staffing, and your ability to bring in business. The Block Group brings together the people, resources and ideas that build results.

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Third Thing You Need to Consider Before Merging.

Think The Unthinkable.

If things go wrong, it is often harder for small companies to survive. Realize this and plan accordingly. According to White, “An M&A transaction for a small company can easily become a ‘bet the company’ transaction. Be aware that a large percentage of M&A transactions do not work out as well as planned.” Although a bride and groom rarely anticipate a divorce, planning an exit strategy for your company, much like a prenuptial agreement, is advisable. “If this is the successful business that you built from scratch, ensure its continued existence and success if the merger fails,” Levy says. It’s not unusual, he notes, to see carefully drawn mechanisms for unwinding a merger. Many mergers contemplate parallel operations for some period of time before the “eggs are scrambled” and the merger becomes concrete.

Read the full article at: http://blog.intuit.com/money/5-things-you-need-to-know-before-merging/

How to Get The Most From Your Mentor.

5 Tips For Getting the most from your Mentor.

Be CLEAR ON WHY YOU WANT A MENTOR AND WHY YOU ARE MEETING. Define what type of help you're looking for in a mentor.
ESTABLISH GOALS FOR THE RELATIONSHIP. Discuss and agree upon the goals of the relationship and what you, personally, are doing to make it a successful venture.
NETWORK, NETWORK AND NETWORK TO FIND A SUITABLE MENTOR. Once you decide on the type of mentor you need, participate in functions and professional associations where you might find this type of person.
DON’T LIMIT YOURSELF TO ONE MENTOR. You can establish multiple mentoring relationships with individuals who can help you grow in different aspects of your life.
ESTABLISH COMMUNICATION METHODS AND FREQUENCY OF CONTACT FROM THE BEGINNING. Talk with your mentor to determine the lines of communication that will work for both of you.

Read the full article at: http://www.theladders.com/career-advice/10-tips-getting-most-from-mentor

Second Thing You Need to Consider Before Merging.

Make Sure Company Cultures Mesh.

As important as the actual business combination is whether the respective cultures are compatible. If they clash, the result can often splinter the entity, and destroy one, if not both, businesses. “Examine the cultural issues as carefully as if they were a balance sheet item,” Levy recommends. Quite frankly, “Nobody wants to marry a creep. Will your employees be valued, respected? Unfortunately, sometimes the best financial deal is from the worst buyer. You don’t want to be full of regrets,” says Joe Aberger, author of Selling Your Business: Making the Right Moves, Avoiding the Costly Mistakes. How difficult will it be to integrate the two companies? “The failure to plan the successful integration is one of the key reasons a M&A fails,” says White.

Read the full article at: http://blog.intuit.com/money/5-things-you-need-to-know-before-merging/

Tips for Women’s Business Growth.

Don’t Fear Failure.

In facing challenges, I find it helpful to ask myself, “What’s the worst that can happen?” Once I face that possibility and the consequences that go with it, some of that fear subsides because I know I can handle it. Being in business isn’t all about wins, it’s about learning from your failures in order to move forward. Change in the business is happening at a faster pace than ever. Consistently striving to improve yourself and company will help you keep moving toward revenue growth. Here’s to a successful 2014!

Read the full article at: http://www.forbes.com/sites/womensmedia/2014/02/25/tips-for-womens-business-growth-in-2014/