Question:
We just got an offer to buy our company for a sweet pile of cash, but
we don’t know what the next step is. My father said we should hire an
investment banker and let him handle the negotiations. Do you agree?
Answer: Congratulations! Without knowing more about the deal and the proposed purchase price, it’s hard to say. I practiced law for a number of years in New York City, and it was pretty rare not to have an investment banker involved in an M&A transaction. Here in California, it’s a little different since most of the deals tend to be relatively small.
A strong investment banker can add a lot of value — not only in connection with negotiating the material terms of the transaction, but also valuing the company and making sure that you’re not selling too low. A strong banker will also create a competitive environment (or the perception of one) and play bidders off of each other to make sure you get the best possible deal terms.
To read the full, original article click on this link: Ask the attorney: Should I hire a pro negotiator now that I have a buyout offer? | VentureBeat
Author: Scott Edward Walker
