1 / 0

Small Business Finance…

Small Business Finance…. Spring 2010 URG MBA Program Chapters 15-17. M & A – Mergers and Acquisitions. Classic Mergers Triangular Mergers Subsidiary is formed specifically for merger Creates a legal corporate “veil” Reverse triangular merger is the opposite.

mac
Download Presentation

Small Business Finance…

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Small Business Finance…

    Spring 2010 URG MBA Program Chapters 15-17
  2. M & A – Mergers and Acquisitions Classic Mergers Triangular Mergers Subsidiary is formed specifically for merger Creates a legal corporate “veil” Reverse triangular merger is the opposite
  3. Sale and Acquisition of Assets Preservation of legal entity Selective transfer of assets Proceeds remain in the company Negotiated Inapplicability of the securities law No direct effect on management Management Strategy is in place from both sides
  4. Payment of Merger or Acquisition Cash for shares Cash for assets Stock for stock Stock for assets Price must be determined (biggest sticking point) Stock based payment is cheap and has tax advantages

  5. Small Business Finance…

    Summer 2009 URG MBA Program Chapter 18
  6. Bankruptcy Bankruptcy Chapter 7 – Company is liquidated Assets are sold Investors enjoy a priority over others Chapter 11 Company reorganizes Payment of debt is halted until reorganization is complete Free ticket from bills for a period of time while income continues—what a deal
  7. Dissolution Different states have different rules Accounting changes Sales change, etc. Delay of shareholder distribution could be up to 210 days
More Related