Are you well aware of what the acquisition of companies is? Or do you only have vague knowledge? Well, this article will help you have a deeper understanding and comprehension of the exact situation and how things work before and after such an acquisition from the end of both parties.
There are several factors why one should consider acquisition beneficial, like – it can be treated as a retirement plan after all the efforts and sleepless nights put into a business, you can finally attain peace of mind and spend more time with other things in your life, lifelong freedom from the hassle of handling a business and no more fear of draining out and missing out on things you wish you could pay attention to. The buyer and seller should share the common ideology while negotiating an acquisition for a satisfactory transaction. Here is what Alexei Orlov has to say about company acquisition and the ethics associated with it.
Eradicate the will to trump each other
Acquisitions, almost in every case, end up in the wrong ways of either the buyer or the seller filing suits against each other for fraudulent manipulation and breach of contract. This genuinely is the outcome of how people have started picturing the other players in the same industry as competition, and trumping one another is treated as a crucial part of running a successful business. This is unfortunate because acquisitions are not a negative, but a positive side of the industry and its expansion and need not be treated as condescension or a weapon of authority.
MTM (Make The Difference) to bring the change the industry needs today
MTM is here for the emergence to change this outlook, to establish the culture of the mutual and friendly transaction between two players, where both the parties stand beneficial, that needs to be duly acknowledged. Here are the two following things the founder of MTM decided to take initiative and play a huge role to make the acquisition a more smooth and non-competitive process.
- A better understanding of the organization to be acquired
Willingness to acquire a business should come with the genuine curiosity to study both the peaks and the troughs of the business throughout its lifetime. Similarly, the former owner too must be willing to establish transparency.
- Equality factor
Reliability and equality go hand in hand. Every detail of the business, from the transaction to the upcoming plans must be negotiated to avoid any possibilities of litigation, misrepresentations of citing, and fact concealments in the future.
And hence, this is how acquisitions should take place in the opinion of Alexei Orlov, the CEO of MTM, to eradicate the ugly side of this process and bring out the possibilities of establishing profitable business relationships.