An acquisition involves one company purchasing shares or assets from another company. There are several reasons to buy a business that may be more advantageous than setting up and growing a business organically: obtaining an already established client base, reducing the time investment for set-up and growth, building critical mass, simpler access to funding, the ability to offer additional services or expand the depth of your current services.
Many businesses with plans for future growth consider acquiring to achieve their goals.
The GS Verde Group offers end-to-end support; helping to identify the right targets, completing due diligence, and all legal and tax considerations. We combine multiple disciplines into one team to help you acquire.
Tell us your Acquisition Criteria
Your acquisition strategy encompasses your plan for business growth, including your current position, goals and ethos. Having a clear strategy that maps your aspirations and how to achieve them helps ensure your acquisitions generate value.
You will want to consider how you assess acquisition targets, your hardlines for negotiation and whether the business you are buying would integrate well into your existing business.
Whether a one-off acquisition or as part of a 'buy-and-build' strategy, knowing the ideal acquisition criteria will help focus your search for the right target. This could be based on the type of business, industry, size, turnover, and location.
GS Verde can assist you in finding targets or can work with you to execute a deal with a target known to you already. From expressions of interest, confidentiality and non-disclosure agreements, to entering a period of exclusivity and forming, negotiating, and structuring the right deal. There will be many things to assess throughout the process, including the business's operational and financial performance, the sale timeframe, inventory status, intellectual property, staffing, and property leases, as well as other tax and legal considerations.
An acquisition is a big decision, so it is important to seek assistance and have the right advisors on hand. GS Verde's multidiscipline services mean you have the advice you need when you need it and can ensure the process runs smoothly through to successful completion.
A successful acquisition strategy
Who: Indigo Group drive growth through key acquisition
What: Indigo Group have acquired the majority of shares and assets of BMSL, a leading recruitment company operating in the construction and transport sectors, as part of its growth plans to offer multi-service, added value solutions. Multidiscipline dealmakers the GS Verde Group advised on the deal.
Ian Cole-Wilkins, Indigo CEO, said: "This is exciting news for us and is a clear signal of our ambitious growth plans. BMSL is a stable, well run business with a strong geographic footprint and complements our long-term strategy perfectly. I am delighted that they can now be counted on as part of the Indigo Group."
Why do businesses want to grow through acquisition?
As GS Verde, we have supported a huge number of businesses through successful acquisition transactions. Each acquisition is as unique as the company behind them - but one thing they have in common is a clear acquisition strategy.
For an insight into the motivations and influences behind some of the business acquisitions we have worked on, take a look 'Behind the Deal' in our article.
Article: Behind the deal - business growth through acquisition
Your motivations
What business goals are you looking to achieve through acquisition? These could include growing the workforce, gaining a new technology or service, or geographical expansion.
Targeting
Specify your criteria early on and use it to assess your acquisition targets. This helps ensure the transaction will add value to your business and is aligned with your overall strategy.
Funding
The right financing option depends on your position as a buyer, the business being acquired and where each is in terms of progression. GS Verde can advise on which finance options are available, and source funding if needed.
Negotiation - A successful negotiation often means both sides leave feeling like they have earned a win. By addressing what both sides need and want from the deal, a better outcome for all can be achieved.
Post-transaction integration
Just as having a plan for the deal is important, you need to consider what happens once the deal is done. A post-acquisition integration action plan can help define success through specific objectives, timeframes, roles and responsibilities, and communication to your team.
Tell us your Acquisition Criteria
Buying a business involves several vital stages, each of which requires expert and specialist advice. The GS Verde Group combines legal, finance, tax and communications services, working as one to form a complete acquisition advisory team working to achieve the best possible result for you.
As deal-making experts offering all the necessary expertise under one roof, we help you navigate the journey from strategy and planning through to successful completion.
Contact us
London-based TMA Security Services, who provide consultancy, training, and guarding services, has acquired Gloucester security service company, Glevum Security Ltd, in a deal advised by GS Verde Group
QA Travel, a leading travel group, has acquired an Aberdeen-based travel company in a deal advised on by the GS Verde Group.
Mergers and acquisitions (M&A) are increasingly pivotal for both large corporations and the agile, dynamic SMEs navigating competitive sectors.
