When selling one's company, it is normal to have concerns. Working through the sale of business can be intimidating and stressful, which is understandable. It is only normal for a business owner, whether in Michigan or elsewhere, to want to make sure that he or she is getting the best deal possible when negotiating an acquisition.
Part of business planning involves deciding what one will do with the company when he or she is ready to retire or what will be done with the company upon his or her death. Many family business owners in Michigan are likely to choose keeping their companies within the family, which is understandable. The real question then is should the transfer to relatives come through a sale of business or by giving the business as a gift?
The popular Michigan-based salsa company, Garden Fresh, was recently acquired by Campbell in a multi-million dollar business deal. According to the current vice president of Garden Fresh, this sale of business will allow the company to put product on store shelves across the country, rather than just focusing on the Mid-West region. Making a decision like this is not always easy, but in this case, the desire to compete with bigger companies and to expand product reach made this sale a necessity.
Investors in Michigan may be interested in news that could potentially be disruptive to the online travel industry. In a statement issued on Feb. 12, Expedia announced its intent to acquire Orbitz for a total value of $1.6 billion, including $1.34 million in cash, as well as net debt. The transaction has already been approved by both companies' boards, but still needs to be approved by Orbitz shareholders and regulatory bodies.
Michigan families dealing with business disputes may want to review the idea of developing a buy-sell agreement. Family-run businesses can experience unique challenges when there are disputes over decisions or when relationships sour. While problems are normal in a business, the responses in a family scenario can be emotional rather than rational. In fact, many family businesses face dissoultion or liquidation due to conflicts.