Are you concerned about managing risks in a San Diego merger? Should existing shareholders be concerned about a potential merger? What steps can you take to ensure the highest probability of a successful outcome in this legally and financially complex business transaction? How can you leverage 40+ years of proven experience and successful transactions by the mergers and acquisitions attorneys at the Watkins Firm?
Harvard Business Review: 70% to 90% of US Mergers and Acquisitions Fail (Then Why is the Success Rate of the Watkins Firm so high in these transactions?)
While business mergers are fairly common here in California, they also carry a substantial amount of risk and potential liability. The Harvard Business Review recently published their analysis of several large studies which show a failure rate of 70% to 90% for mergers and acquisitions here in the United States. Their findings point to an “absence of crucial information” as well as the failure or inability to unite “separate business cultures.”
In a recent episode of our Podcast “Sound Business Insights,” our founder, Dan Watkins, said “our experience has been quite different. Mergers and acquisition transactions managed by the Watkins Firm have a success rate of 80% or higher. When asked why our results were so different, Mr. Watkins pointed to the 40+ years of experience the Watkins Firm brings after “thousands and thousands” of mergers and acquisitions, and the extensive due diligence we provide. “We talk through challenging issues associated with transition, culture, key employees, planning and how to set the table for a successful merger.”
Ask about the Watkins Firm’s proprietary library of proven, battle-tested merger-related contracts and checklists. We help to reduce risk and expense by taking a proven existing contract and custom tailoring it to meet the requirements of your upcoming merger. Our proprietary due diligence checklists, proven through thousands of mergers, are one of the keys to ensuring a successful transaction.
Legal Challenges and Managing Risks in a San Diego Merger
This is why it is so important to work with the experienced asset purchase, stock purchase, and mergers attorneys at the Watkins Firm. Our experienced M & A team will guide you through the process of reducing or eliminating legal challenges and managing risks in a San Diego merger.
There are several legal issues associated with some business mergers here in California. Depending upon the size and nature of the companies associated with the merger, there may be regulatory compliance and/or antitrust concerns to be managed.
However, in most California business mergers the key issues include managing and/or protecting the interests of existing primary and minority shareholders, key employees, intellectual property, existing contractual issues and combining the separate business systems and processes of two or more previously separate entities.
Are you a minority shareholder whose company is approaching a merger? These transactions can represent a genuine challenge to your investment and interests. The Watkins Firm can help to protect your position while evaluating the proposed merger and how your interests will be managed or affected.
Who are the key employees and primary customers of each organization and what steps should be considered to ensure they are retained through the upcoming transition?
Most parties in a merger transaction have a variety of existing contracts and obligations with their own employees, customers, suppliers, and other business relationships. What are the nature of these agreements and how can the Watkins Firm help to manage the process of changing or updating existing provisions regarding security, control, consent, assignments, renegotiation and or termination?
What intellectual property does each party bring to the table? What considerations and contractual issues must be addressed in terms of identification, ownership, licensing or transfer of intellectual property rights, trade secrets, copyrights and trademarks? What is the valuation of existing intellectual property? How will IP be protected going forward and are there any licensing issues or infringement enforcement requirements that need to be addressed?
Your Experienced California M & A Attorneys
If you are concerned about managing the risks in a San Diego merger and working to ensure a successful outcome you need the counsel and legal services of your experienced California M & A attorneys at the Watkins Firm. We work to protect our clients in the transaction to ensure not only that the supporting contracts are well crafted, but to complete substantial due diligence including existing and contingent liabilities that might impact the merger. If you are considering a business merger in San Diego or anywhere in California we invite you to review our podcast Episode 10 – The Importance of a Strong Corporate Attorney as well as the strong recommendations of our clients and contact the Watkins Firm or call 858-535-1511 for a complimentary consultation today.
