Quick Review The Fundamentals of MA

first_imgTime for review: do you know the fundamentals of M&As?When it comes to planning your company’s financial strategy, you may need a quick refresher course.But even if you understand the difference between a merger and an acquisition, when it comes to compensation, you may want to rethink your strategy.Fred Wilson gives a rundown of the differences between how the consideration is paid—stock, cash, or other?“Most people think cash is preferable. If you are selling your company, you want to know how much you are getting for it. And with cash, that is clear as crystal. With stock you are simply trading stock in your own company, which you control, for stock in someone else’s company, which you don’t control.”You must also examine what, exactly, the acquirer is purchasing. Are they buying assets or are they buying the company? What’s the difference, and which is best?Read on to find out!AddThis Sharing ButtonsShare to FacebookFacebookShare to TwitterTwitterShare to PrintPrintShare to EmailEmailShare to MoreAddThislast_img read more