The Advantages of a Small M&A Team

One of the decisions that an acquisitive company needs to make is choosing the size of the internal M&A team. Many companies opt for the larger teams who can fulfill all the possible requirements of deal planning, execution and integration. However, we have found that opting for a smaller, experienced team that pulls in resources on a project basis can be more advantageous. These teams take a project-driven approach and consist of a handful of core team members. In many cases, these smaller teams are better than the larger teams insofar as their project approach is better suited for inconsistent or unpredictable deal flow. However, the companies that use these smaller M&A teams need to have a good M&A playbook in place for transaction review, analysis, valuation, due-diligence and integration. Along with these requirements, there are particular challenges that arise in several essential areas.

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