Mergers and acquisitions can be a complicated process with many different challenges. The decision to sell in of itself is challenging, but it can also be the key to unlocking the future you truly want. To secure your future and solidify your legacy, it’s important to go into the M&A process aware of potential pitfalls and challenges. While these aren’t the only challenges you may encounter, they are some of the most common.

Emotions

Emotions can be one of the hardest challenges to overcome during your M&A journey. Emotions aren’t always logical, and a business is something that requires a lot of energy, time, and effort to build. It’s natural for big emotions to crop up when you consider selling your business, but it’s important to understand that you can’t delay selling indefinitely and that it will be emotionally difficult no matter when you move forward.

Procrastination

Procrastinating at any stage of your 1,000 day journey can create challenges along the way. The M&A process is often called the 1,000 day journey, because that’s how long it takes to complete on an average time table– just under three years. If you procrastinate early due to those aforementioned emotions, or you procrastinate later because you’re experiencing some doubts, the entire process gets delayed. That could mean missing the right buyer or your ideal price and having to settle for less desirable terms.

Poor Synergy

Poor synergy is a huge challenge in M&A, but it can be avoidable. When you’re seeking out an interested buyer, committing proper due diligence can help avoid merging with a company that has poor synergy with your business. Both companies in a mergers and acquisitions transaction should synergize with each other through cost-saving, financial, and cultural synergies. A professional M&A advisor can assist you in this process.

If you’re interested in embarking on your M&A journey, it’s integral that you don’t go at it alone. Ensure you overcome these challenges, and any others that may pop up, with grace. Contact Stony Hill Advisors today to speak with an expert M&A advisor today. Let’s work together.