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Benefits of Making Business in United States | Buy & Sell Business

At MergersCorp we help our clients confidentially buy and sell privately held businesses, aligning the interests of all parties for mutual success and satisfaction.<br><br>Find more at: http://mergerscorp.com

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Benefits of Making Business in United States | Buy & Sell Business

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  1. BENEFITS OF MAKING BUSINESS IN THE UNITED STATES WWW.MERGERSCORP.COM

  2. At MergersCorp M&A International we help our clients confidentially buy and sell privately held businesses, aligning the interests of all parties for mutual success and satisfaction. It is our goal to make the process of either buying a new business or selling your current business as smooth and efficient as possible. We know how important confidentiality is to our sellers and we treat it with the utmost importance. WWW.MERGERSCORP.COM

  3. BENEFITS OF MAKING BUSINESS IN THE UNITED STATES WWW.MERGERSCORP.COM

  4. Country Overview The U.S. is a country of 50 states covering a vast swath of North America, with Alaska in the northwest and Hawaii extending the nation’s presence into the Pacific Ocean. United States, officially United States of America, abbreviated U.S. or U.S.A., byname America, country in North America, a federal republic of 50 states. The United States has a total of 16 territories. There are five territories that are inhabited. They are Puerto Rico, Guam, American Samoa, the U.S. Virgin Islands, and the North Mariana Islands. Major Atlantic Coast cities are New York, a global finance and culture center, and capital Washington, DC. Midwestern metropolis Chicago is known for influential architecture and on the west coast, Los Angeles' Hollywood is famed for filmmaking. The economic and social complexion of life in the United States mirrors the country’s extraordinary mobility. The Constitution of the United States, written to redress the deficiencies of the country’s first constitution, the Articles of Confederation, defines a federal system of government in which certain powers are delegated to the national government and others are reserved to the states.

  5. Executive Summary The USA is the world's foremost economic and military power, with global interests and an unmatched global reach. America's gross domestic product accounts for close to a quarter of the world total, and its military budget is reckoned to be almost as much as the rest of the world's defence spending put together. The country is also a major source of entertainment: American TV, Hollywood films, jazz, blues, rock and rap music are primary ingredients in global popular culture. The United States originated in a revolution which separated it from the British Crown. The constitution, drafted in 1787, established a federal system with a division of powers which has remained unchanged in form since its inception. The United States of America is the world's third largest country in size and nearly the third largest in terms of population. Located in North America, the country is bordered on the west by the Pacific Ocean and to the east by the Atlantic Ocean. Along the northern border is Canada and the southern border is Mexico.

  6. Introduction – Doing business in The United States The United States is ranked 6 among 190 economies in the ease of doing business, according to the latest World Bank annual ratings. The rank of the United States improved to 6 in 2019 from 8 in 2018. Ease of Doing Business in United States - data, historical chart, and calendar of releases - was last updated on February of 2020 from its official source. If a foreign company establishes a branch office in the US and conducts business in the US, the entire company is considered to be ―doing business‖ in the US. This can subject the company to taxation on all income earned, rather than limiting taxation to the income of the branch office.

  7. Conducting business in The United States A foreign company entering the US must decide on the form of business entity it will use to conduct its US operations. The most common types of domestic business entities are corporations, limited liability companies (LLCs), and partnerships. Each business form has its own benefits and the choice of form depends on case-specific legal and business factors. Each type of business entity must be formed according to the laws of the state in which the entity is formed. All entity types other than partnerships require organizing documents to be filed with the state government. — Branch Office — Corporations — Limited Liability Companies — Partnerships

  8. Taxation in The United States of tax from 15% to 35%; a rate of 34% applies to income from $335,000 to $15,000,000. In lieu of the tax computed using the above rates, the individual AMT may be imposed under a two-tier rate structure of 26% and 28%. For tax year 2019, the 28% tax rate applies to taxpayers with taxable incomes above USD 194,800 (USD 97,450 for married individuals filing separately). For tax year 2020, the 28% tax rate applies to taxpayers with taxable incomes above USD 197,900 (USD 98,950 for married individuals filing separately). Most states, and a number of municipal authorities, impose income taxes on individuals working or residing within their jurisdictions. Most of the 50 states impose some personal income tax, with the exception of Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming, which have no state income tax. New Hampshire and Tennessee (until January 1, 2021) tax only dividend and interest income. Few states impose an income tax at rates that exceed 10%. ​​​​​​​​​​​​​Individuals are subject to federal graduated tax rates from 10% to 39.6%. Corporations are subject to federal graduated rates

  9. Trade and the 7th most complex economy according to the Economic Complexity Index (ECI). In 2017, the United States exported $1.25T and imported $2.16T, resulting in a negative trade balance of $910B. In 2017 the GDP of the United States was $19.4T and its GDP per capita was $59.5k. The top exports of the United States are Refined Petroleum ($74.5B), Cars ($56B), Planes, Helicopters, and/or Spacecraft ($54B), Gas Turbines ($31.6B) and Packaged Medicaments ($29.5B), using the 1992 revision of the HS (Harmonized System) classification. Its top imports are Cars ($178B), Crude Petroleum($129B), Broadcasting Equipment ($105B), Computers ($73.5B) and Vehicle Parts ($67.1B). The top export destinations of the United States are Mexico ($181B), Canada ($149B), China($133B), Japan ($66.9B) and Germany ($61.6B). The top import origins are China ($476B), Mexico($307B), Canada ($274B), Japan ($125B) and Germany ($111B). The United States is the 3rd largest export economy in the world

  10. Banking in The United States the country's founding and has developed into highly influential and complex system of banking and financial services. Anchored by New York City and Wall Street, it is centered on various financial services namely private banking, asset management, and deposit security. The beginnings of the banking industry can be traced to 1790 when the Bank of Pennsylvania was founded to fund the American Revolutionary War. After merchants in the Thirteen Colonies needed a currency as a medium of exchange, the Bank of North America was opened to facilitate more advanced financial transactions. As of 2018, the largest banks the United States were JPMorgan Chase, Bank of America, Wells Fargo, Citigroup, and Goldman Sachs. It is estimated that banking assets were equal to 56 percent of the U.S. economy. As of December 31, 2019, there were 5,177 commercial banks and savings institutions in the U.S. Banking in the United States began in the late 1790s along with

  11. Our M&A Process NEGOTIATION & CLOSE POST MERGER INTEGRATION (PMI) INTEGRATION (PMI) POST MERGER TARGET APPRAISAL APPROACH DUE DILIGENCE Key Areas  Target & market analysis;  Initial assessment of synergies & value drivers;  Indicative valuation;  Go or No-Go decision;  Preparation of transaction documents (NDA – Non- disclosure Agreement/LOI- Letter of Intent);  Select Transaction team;  Appoint advisors;  Consider funding ability.  Initial approach letter;  Signing of NDA;  Prepare & share initial information requests;  Formulation of LOI (Letter of Intent) & possible negotiations;  Initial meeting and Q&A;  Circulate information on the Target to the Transaction team.  Set scope of due diligence;  Set up VDR (virtual data room);  Coordinating of due diligence, further meetings and Q&A sessions;  Consider points relevant to the Post-Merger (PMI) phase;  Revisit indicative valuation & prepare detailed valuation based on due diligence findings;  SPA negotiations with the seller;  Development of final structure (share/asset deal) and final valuation;  Approvals;  Signing of SPA & Close.  Consider the extent of integration;  Development of 100 Day PMI Plan;  Consider short & long term objectives;  Estimate requirements to capture synergies;  Determine resource needs & optimal allocation. Parties Involved  CFO;  Head of M&A;  Accountants;  Corporate finance advisors;  Consultants.  Senior management;  CEO, CFO, CTO;  Strategy director;  Head of M&A;  Head of Business Development;  Consultants.  Company general counsel;  Lawyers;  Senior management.  Company general counsel;  Lawyers;  Senior management/HR. 11 © Midaxo 2018 www.midaxo.com

  12. Looking to Buy or Sell a Business? CONTACT US NOW FOR A FREE BUSINESS VALUATION WWW.MERGERSCORP.COM

  13. MergersCorp.com The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. Member firms of the MergersCorp network of independent firms are affiliated with MergersCorp International. MergersCorp International provides no client services. No member firm has any authority to obligate or bind MergersCorp International or any other member firm vis-à-vis third parties, nor does MergersCorp International have any such authority to obligate or bind any member firm. Copyright © 2020 MergersCorp International. All rights reserved. 13 © Midaxo 2018 www.midaxo.com

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