The merger or acquisition of an existing business can be an excellent growth opportunity for a company looking to expand. A grocer based in a neighboring state recently acquired 7 grocery stores in Louisiana formerly operated by another grocer. The grocer that is expanding noted that the 7 new grocery stores adds to its footprint which now includes Louisiana and two neighboring states. The grocer now operates 47 locations in the 3 neighboring states.

The grocer noted that it always looks to expand its services to its customers. Mergers and acquisitions can present a valuable business opportunity for a company looking to expand the products and services it offers. In most situations, it is best for a merger or acquisition to provide value including a complimentary set of products or offering of services, or complimentary infrastructure, that can be a useful addition to the existing company.

There are many considerations to take into account when conducting a merger or acquisition, including due diligence and important research, negotiations, contract drafting and ensuring all the legal requirements are met. Because of the complexity of a potential merger or acquisition, it is helpful to have a high degree of familiarity with the process and trained guidance can be useful throughout.

It is important to carefully consider every aspect of a proposed merger or acquisition and to consider the impact it will have on the existing company seeking to merge with the other business or acquire the other business. Knowing how to approach a business opportunity such as an acquisition can help the move be a successful one.