Identifying what doesn’t work can be a good first step.
A common failed transaction is the the “opportunistic deal” discovered/delivered prior to a determined strategy or requirements.
Often the deal is needy or delivered by a transaction driven broker (with a big payday when the deal is done).
Without predetermined criteria, any deal can look great & by the time we are six or eight months into it, the sunk costs are believed to be a recoverable investment if we can just get this thing done.
Frequently unseen by those who have not experienced big acquisition losses (rarely unseen by those who have) is the phenomenal resources it takes to recover from completing a bad transaction. A recent Packard client spent ten years righting the financial and strategic mistake made on their first acquisition, and much like the cat that will never sit on a hot stove again, it will never sit on a cold stove again either.
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