If done correctly, company mergers can be beneficial to every company involved in the transaction. Mergers often lead to companies pooling resources, eliminating inefficiencies in the way the two businesses are run, and providing needed capital to pursue ventures that a business otherwise could not undertake.

Youngevity Essential Life Sciences, headquartered in San Diego, merged with Javalution Coffee Company in 2011, and the merged company is now a conglomerate of AL International. Youngevity as it is still known has now been listed as one of the top 100 direct selling companies in the world by Direct Selling News.

When businesses confront obstacles concerning the large number of employees involved and the significant amounts of money invested in a merger, corporations do not want to become entangled in legal or regulatory disputes.

Mergers involve a significant number of complex business transactions, and the setting up of the business after the merger will require the appointing of the right personnel to handle the transition. Also, federal regulators are watching closely every merger to make certain that antitrust laws are not supposedly being violated, and that the sale of stock and other securities complies with federal law.

Because of the large number of considerations that need to be made both before and after an acquisition or merger takes place, the need for an attorney with knowledge of business and commercial transactions is heightened. These attorneys can also prepare paperwork and consult on every business consideration.

California businesses are often cash strapped and are unable to expand absent a merger or acquisition. While a failing business can mean a loss of jobs and revenues for local economies, an expanding business can bring life back to the community.

Source: heraldonline.com, “Youngevity® Essential Life Sciences Named Among the Top 100 Global Direct Selling Companies by Direct Selling News,” April 4, 2013