Businesses, shaped by adversity emerge stronger...
Adversity Including pandemics and difficult economic circumstances make businesses more resilient as we find creative ways to cut costs and reach wider audiences. When businesses adapt through adversity, they emerge with stronger supply chains, improved marketing, effective cost management and more efficient workforces. Businesses, shaped by adversity are ultimately more profitable and make attractive acquisition targets.
During difficult financial climates, cautious business owners pause plans to divest and sell business assets, and nervous acquirers can shelve plans to acquire until more favourable economic conditions. Consequently, during the recent pandemic, acquisition opportunities fell by 50% when compared with the previous year.
On the upside, PE investors and listed companies need to demonstrate growth through acquisition, to their stakeholders. Consequently, when the economy shows signs of recovery, there can be a scarcity of acquisition opportunities creating a seller’s market, and this can be a great time to sell.
Companies that can adapt in difficult economic and socio-political climates emerge stronger and more resilient and are positioned to take full advantage of an economy in recovery.
Call us on 01384 274 778 / 075 888 925 88 to discuss or go ahead and book a free consultation to explore your options.