Stage 1 (a) Define the purpose and goals of the acquisition.
(b) Define the most important characteristics about the
business you are interested in acquiring.
(c) Make a preliminary list of business sectors to be investigated. Stage 2 (a) Determine
the nature and extent of the information to be gathered to conduct a preliminary evaluation of the sectors identified in 1(c).
(b) Gather the information and assess the feasibility of proceeding with a more
in-depth analysis.
(c) Decide on which business sectors to focus on. Stage 3
(a) Identify specific businesses to be contacted based on the predetermined search criteria.
(b) Solicit an indication of interest from these prospective acquisition targets.
(c) Develop a comparative analysis form / questionnaire.
(d) Obtain information about the acquisition targets.
(e) Conduct a preliminary comparative analysis and determine which opportunities
warrant further investigation. Stage 4 (a) Conduct a preliminary due diligence investigation of those targeted businesses that successfully
pass 3(e).
(b) Determine which potential acquisition targets warrant an in-depth due diligence investigation. Stage 5
(a) Conduct an in-depth due diligence investigation of the opportunities identified in 4(b).
(b) Concurrent with 5(a), begin developing a business plan for the acquisition (be aware of any facts or
circumstances that could impact the due diligence investigation.
(c) Select the acquisition candidate. Stage 6
(a) Complete the business plan.
(b) Develop a pre-acquisition check list.
(c) Complete all pre-acquisition matters.
(d) Complete the acquisition. © Beacon Management 1996 |
