A merger involves two or more separate enterprises forming one single legal entity by combining their assets and, unfortunately, liabilities. These are large deals that do not happen overnight. A majority vote of shareholders is generally required to approve any merger, and that’s after extensive research and planning to determine if the merger is in the best interest of all involved parties.
These are some of the issues that will need to be addressed before finalizing any agreement:
- Tax Consequences
- Projected Market Power (Product Demand)
- Type of Transaction for the Merger
- Management Structuring
- Cost & Benefit Analysis
Before entering into a contract that changes the size and structure of your company, always seek professional legal advice of someone that’s got your back. The Law Office of Darin Siefkes has facilitated deals across Austin, Texas. We know exactly what to look for and what questions to ask to determine whether your deal is a wise business decision.