Whether you are thinking of buying your first business, or ready to scoop up a competitor, the purchase of an existing business can be a very stressful endeavor. More than ever before, mergers and acquisitions offer an increased level of risk. The acquirer needs to truly understand the capabilities of the company in implementing a successful acquisition or merger. A company that potentially made extreme cuts or growth over the past eighteen months may have fallen far behind from a technology standpoint. Technology Due Diligence will help acquirers to better realize value from the technological assets they acquire.
There are many technology criteria that speak directly to how easy or difficult it will be to integrate and optimize the technology of the company being acquired. If the technology infrastructure, architecture, and applications are incompatible, there will be serious – and expensive -problems with integration and optimization. The best way to gain this type of visibility is to take a “deep dive” into the organizations IT infrastructure, hardware and software applications. Questions that need to be asked about a company’s technology include:
Ayoka is an experienced technology company that can help to organize and assess these types of issues to understand the risks involved in the acquisition of a company. We provide a complete technology audit to guide managers of acquiring firms in evaluating the “IT health” of potential acquisition targets. This audit document will outline the “current state” as well as the “end state” of what will happen after the merger or acquisition, including the strengths, weaknesses, opportunities, and threats that the M&A opportunity presents. Minimize your risk and call us today!