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Key aspects for a successful business merger

You work hard to get and keep your business at a certain point of success. Sometimes, to move to the next level, it is necessary to join with others in the form of a merger. 

One of the best ways to facilitate a successful business merger is to avoid certain disputes when possible. In that vein, be aware of a few key aspects.

Proper motivation

As with any business decision, there should be a plan in place. Particularly in regards to a business merger, it is important to clearly understand and articulate your motivations for the merger. This will allow you to keep your goals in mind and make (and reach) the best decisions.

Due diligence

All businesses involved in the merger should undergo a due diligence process to avoid future liability issues. Due diligence not only helps to avoid possible issues from the start, but it can also provide protection in the future. If one party finds out that the other party was not truthful during the due diligence process and it results in a loss for the business, it may be possible for the harmed party to seek restitution in court.


A business merger is similar to a marriage in some ways; primarily in the sense that the two companies must work together to become one. Therefore, just as two people should be compatible for a lasting marriage, two businesses must be compatible for a lasting, successful business merger.


Along with preparing for a successful merger, it is also critical to prepare for the chance that the merger will not work, to protect your business. An exit plan is an excellent preparation tool to provide proper steps and peace of mind in case you have to dissolve the merger and make different arrangements for your company.

Though these characteristics can aid in promoting a successful merger in general, all businesses are different and may require additional action. Take some time to consider how these and other steps can benefit your company in your merger process.

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Schwartz Law Firm
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