Many deals stumble during the post-merger integration (PMI) phase because of a lack of planning, a tardy focus on PMI, or an underestimation of the time and budget needed to complete the integration, among other things.
When it comes to acquisitions, the “closing date” is often seen as the crescendo of a purchase. Months and sometimes years pass between initial discussions and the closing of a deal. The weeks leading up to closing are high paced and stressful, coupled with exhaustive checklists barreling toward completion. The parties breathe a sigh of relief when the closing meeting concludes, and both parties leave – for one of them, the transaction likely marks the end of the road. However, on the other side, closing is just the beginning.
All transactions—whether mergers, acquisitions, joint ventures, equity investments, or divestitures—raise complex issues regarding potential tax risks and provide a need or opportunity to implement practical strategies to improve tax efficiency and certainty. When deals involve companies with global operations, wading through the additional range of foreign considerations is even more daunting. Shilts CPA can assist in effectively navigating the myriad of tax, accounting, legal, regulatory, cultural, and labor issues that arise in a transaction and help you to realize the anticipated post integration synergies.