Is Another Business Merging with Yours? 4 Steps to Take in Preparation

Is Another Business Merging with Yours? 4 Steps to Take in Preparation
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    The merging of your business with another can be like creating a new family.


Whatever the reason for merging is, now is the time for a fresh start. You can’t predict exactly how a merger will go. However, you can take all the necessary advance measures. These four steps will help you prepare for your merger as well as possible:

Decide on Location

You might have become rather attached to your current business location. However, the other business likely feels the same way. You’ll have to give up one of the locations, if not both of them. Sit down with the other business owners and discuss what the best location would be. Make a list of pros and cons and decide which one has the most pros. You might also realize that the best course of action is to find an entirely new office location.

Clean up

Once the location has been determined, it’s time to clean up. Not only will this allow for more room for the other business to be incorporated, it’s also just better-looking. You can hire a professional cleaning service, but you should also prepare in advance to make sure that they can clean easily. Renting a dumpster is a great way to get rid of clutter from cleaning up. Make sure to rent one as early as possible and know what needs to be thrown out.

Introduce People

You need people in both businesses to get to know each other in order to have a successful merger. It should feel like the two companies are becoming one, rather than two businesses in one building. Get started on introductions as soon as possible. You can make this fun by using icebreaker games or going out for happy hour. If people get to know each other early, they’ll have better long-term trust.

Resolves Business Disagreements

If you’re merging with another business, you must have some things in common with them. However, there are sure to be things you don’t necessarily agree on. Don’t try to ignore these and hope for the best. Discuss what is most important for you as a business owner and see how the others feel. Work together to reach a compromise as reasonably as possible.

It can be strange to merge your business with another. However, understand that it’s going to feel strange for the other business as well. By taking time to prepare and working together, you can have a fruitful new business partnership.

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Categories: M&A Planning

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