Navigating Deal Structures - Options to Maximize Deal Economics
During a process, identifying terms, conditions and structures are among the most difficult tasks. The most simplest transaction would be to pay cash and immediately start benefiting from the combination. However, most sellers are looking for a premium in an effort to maximize liquidity. When valuations differ between the seller and buyer, it is common to see structures that involve earnouts, equity, or a combination of the two. In this episode, we discuss how we navigate deal structures in pending or proposed combinations.