Are you looking to sell, or are you looking to acquire a tech company? Seventy percent of acquisitions of firms in the technology sector over the past three years have been made by non-tech organizations. Paul Beswick recommends some considerations on par with a tech savvy mindset when evaluating the logic and value of these deals. These are
What would it really cost to recreate a technology service?
When the talent in a target is young, motivated and unencumbered by the drag of legacy IT processes, why not create an offshoot that replicates the same circumstances?
When a business provides access to an interesting segment of customers, why not target them with a more compelling offer yourself ¹
Beswick posits that the real value of the acquisition is in the strength of the business model with scale, access to markets, users, and distribution capabilities, rather than the technology itself. Happy shopping….