{"id":173011,"date":"2022-07-28T23:46:36","date_gmt":"2022-07-28T22:46:36","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=173011"},"modified":"2022-07-29T02:26:02","modified_gmt":"2022-07-29T01:26:02","slug":"acquire-another-business","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/business-sale-purchase\/acquire-another-business\/","title":{"rendered":"How Do I Acquire Another Business in England?"},"content":{"rendered":"\n<p>As a business owner in the United Kingdom, you may wish to acquire another business for several reasons. For example, a business acquisition can help you:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>synergise your supply chains;<\/li><li>access new markets and products; or&nbsp;<\/li><li>increase your current market share.&nbsp;<\/li><\/ul>\n\n\n\n<p>However, navigating an acquisition is not easy since there are several key points you should keep in mind throughout the process. This article explains some of the main considerations you should make if you want to acquire an existing business.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is an Acquisition?<\/h2>\n\n\n\n<p>A <a href=\"https:\/\/legalvision.co.uk\/business-sale-purchase\/acquiring-another-business\/\">company acquisition<\/a> is where company X buys the majority of shares in company Y. Consequently, company X will effectively become the business owner of company Y.&nbsp;If you become a majority shareholder of another company, you can make business decisions without consulting other shareholders. This means that you can decide whether to:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>make the acquired company a sub-brand of your company; or&nbsp;<\/li><li>absorb the acquired company into your company.&nbsp;<\/li><\/ul>\n\n\n\n<p>Nevertheless, this depends on your overall business plan and reasons for acquiring the company.&nbsp;The following section explores key considerations when planning to acquire another business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">1. Have a Clear Goal&nbsp;to Acquire Another Business<\/h2>\n\n\n\n<p>As the acquiring company, you will want to ensure that you know exactly why you are buying that particular target company at that time. Some common reasons for acquisition include your desire to:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>improve the performance of the target company through your own operations and experience;<\/li><li>streamline the supply in your industry; and&nbsp;<\/li><li>acquire new assets and skills.&nbsp;<\/li><\/ul>\n\n\n\n<p>Ultimately, knowing why you want to acquire a target company in the first place is necessary to ensure you have a clear plan when acquiring a business<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            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Assess the Target Company<\/h2>\n\n\n\n<p>Once you have developed your acquisition plan, the next thing to do is to analyse the company that you have identified as a potential target. When selecting a target company, it is important that you select the right business for your goals and business plan.&nbsp;<\/p>\n\n\n\n<p>Before talking to the target company to negotiate a purchase price, you must thoroughly do your homework with a rigorous <a href=\"https:\/\/legalvision.co.uk\/corporations\/due-diligence-process\/\">diligence process<\/a>. As part of the due diligence process, you will want to:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>survey the business\u2019 assets, including its tangible assets (i.e. factories and equipment) and intangible assets (i.e. trade marks and patents);&nbsp;<\/li><li>assess the target company&#8217;s cash flows and finances;<\/li><li>check any liabilities, such as debts, taxes, employee salaries, and any ongoing legal proceedings; and<\/li><li>double-check how this business matches with your overall business plan and goals.<\/li><\/ul>\n\n\n\n<p>During the due diligence, it would be wise to seek professional advice to ensure your target company is worth acquiring.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">3. Make the Offer<\/h2>\n\n\n\n<p>Once you have ironed out the details and are sure you want to acquire the target company, you will need to enter into a purchase agreement.&nbsp;Typically, it is a good idea to hire investment bankers who specialise in merger and acquisition deals, as they will be able to advise you on the terms of your agreement as well as the <a href=\"https:\/\/legalvision.co.uk\/business-sale-purchase\/finance-an-acquisition\/\">purchase price<\/a> of the target business.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>As a successful business owner in the United Kingdom, you may want to acquire another business. Acquiring another business can help you achieve your business goals, as well as access new markets and opportunities. If you decide to take this route, it is important that you:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>establish clear goals for the acquisition;<\/li><li>undertake due diligence; and<\/li><li>seek professional advice throughout the acquisition process. <\/li><\/ul>\n\n\n\n<p>Once you complete this process, you should consider making an offer to purchase the business. If you have questions about acquiring a business, our <a href=\"https:\/\/legalvision.co.uk\/business-sale-purchase-lawyers-lp\">experienced business sale lawyers<\/a> can assist as part of our LegalVision membership. You will have unlimited access to lawyers to answer your questions and draft and review your documents for a low monthly fee. So call us today at <a href=\"tel:+448081968584\" class=\"AVANSERnumber dynamic-number\">0808 196 8584<\/a> or visit our <a href=\"https:\/\/legalvision.co.uk\/membership\">membership page<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Frequently Asked Questions<\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1659047647923\"><strong class=\"schema-faq-question\"><strong>What is an acquisition?<\/strong><\/strong> <p class=\"schema-faq-answer\">An acquisition is when one company acquires a majority share in a target company.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1659047669622\"><strong class=\"schema-faq-question\"><strong>What do investment bankers do?<\/strong><\/strong> <p class=\"schema-faq-answer\">An investment banker can help you with your business acquisition, as they will have experience and expertise in a range of different types of mergers and acquisitions\u00a0deals.<\/p> <\/div> <\/div>\n<div class=\"not-prose m-feedback-prompt\">\n    <!-- Thumbs up\/down bar -->\n    <div class=\"m-feedback-prompt__main\">\n        <div class=\"m-feedback-prompt__title\">Was this article helpful?<\/div>\n        <div>\n            <!--span class=\"m-feedback-prompt__button--text\">Thanks!<\/span-->\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--yes\"\n                    data-analytics-link=\"feedback-prompt:yes\" aria-label=\"Agree\">\n                <i class=\"fa-regular fa-thumbs-up fa-3x\"><\/i>\n            <\/button>\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--no\"\n                    data-analytics-link=\"feedback-prompt:no\" aria-label=\"Disagree\">\n                <i class=\"fa-regular fa-thumbs-down fa-3x\"><\/i>\n            <\/button>\n        <\/div>\n    <\/div>\n\n    <!-- Feedback form -->\n    <div class=\"m-feedback-prompt__form\">\n        <div class=\"m-feedback-prompt__form--thanks \">\n            <div>Thanks!<\/div>\n            <p>\n                We appreciate your feedback \u2013 your submission has been successfully received.            <\/p>\n        <\/div>\n        <form id=\"contact-form\" class=\"m-feedback-prompt__form--form\" action=\"\" method=\"post\">\n            <input type=\"hidden\" id=\"authenticity_token\" name=\"authenticity_token\" value=\"9eb4f72322\" \/><input type=\"hidden\" name=\"_wp_http_referer\" value=\"\/api\/wp\/v2\/posts\/173011\" \/>            <input value=\"https:\/\/legalvision.co.uk\/business-sale-purchase\/acquire-another-business\/\" type=\"hidden\" name=\"currenturl\"\n                   id=\"currenturl\">\n            <input value=\"How Do I Acquire Another Business in England?\" type=\"hidden\" name=\"currenttitle\"\n                   id=\"currenttitle\">\n            <label>\n                <!-- display on thumbs-up -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--yes\">\n                    Can you tell us <span class=\"font-semibold\">why<\/span> you found it helpful?\n                <\/span>\n\n                <!-- display on thumbs-down -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--no text-lg\">\n                    How can we better improve this article?\n                <\/span>\n                <textarea name=\"feedbackmessage\" id=\"feedbackmessage\" required><\/textarea>\n            <\/label>\n\n            <div class=\"m-feedback-prompt__form--error\" id=\"form-submit-error\"><\/div>\n            <button id=\"submit-contact-form-button\" type=\"submit\" name=\"commit\" class=\"m-feedback-prompt__form--submit\"\n                    data-analytics-link=\"feedback-prompt:submit\">\n                Submit            <\/button>\n        <\/form>\n    <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>As a business owner in the United Kingdom, you may wish to acquire another business for several reasons. For example, a business acquisition can help you:&nbsp; synergise your supply chains; access new markets and products; or&nbsp; increase your current market share.&nbsp; However, navigating an acquisition is not easy since there are several key points you<a href=\"https:\/\/legalvision.co.uk\/business-sale-purchase\/acquire-another-business\/\">Continue reading <span class=\"sr-only\">&#8220;How Do I Acquire Another Business in England?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13325,"featured_media":3245,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"4182,2110,172952,4361,3672,2726","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[29],"tags":[21,53,666,879],"class_list":["post-173011","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-sale-purchase","tag-medium-business","tag-buying-a-business","tag-acquisition","tag-mergers-and-acquisitions"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How Do I Acquire Another Business? 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