Now that the new year has started, it’s time to check in with the corporate crystal ball. What should your business look out for? Which opportunities should you seize?
According to economists, 2018 will present ample openings for mergers and acquisitions. Both global and American economies are right for it; political uncertainties have somewhat stabilized and growth is showing in stocks.
Some industries could have hotter deals than others, however. Technology and financial services continue to offer luxurious opportunities for business owners. At a lesser rate, other industries, including manufacturing and healthcare, will grow as well.
Keep a close eye on the market this year because economists also forewarn a dip in following years. While expansion may be the way of the world in 2018, unexpected political and cultural forces can easily disrupt any expectations of progress. In addition, a recession may be coming at the turn of 2020.
When the time is right to strike a deal, businesses should already be prepared ahead of time. Maintain a relationship with your attorney to ensure that the transaction works in your favor. For those who plan to sell, whether a startup or global franchise, form an exit strategy to facilitate the company’s transition.
Merging with, selling or purchasing another company requires knowledge of complex commercial law. Often, these deals will cross Kentucky borders and involve other jurisdictions. These upper-level decisions can impact employees and customers alike, so it’s important to make sure the transition is well-managed. Your attorney will help you draft contracts and handle the financial effects of the arrangement in accordance with business-related laws.
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