How do you choose asset acquisition or equity acquisition?

In real life, the development of the company often needs to acquire it, or to acquire assets, or to acquire equity. So, how should I make a choice in the two?

Asset acquisitions and equity acquisitions are indeed difficult to distinguish between advantages and disadvantages.

From the perspective of value, the value assessment of asset acquisitions is easier to find reference value. It is easier for business owners to know whether the transaction price meets the market level; the equity acquisition is relatively complicated, and there are more factors that need to be considered, including profitability, future profitability in the future Ability, fixed assets of equity representatives, intangible assets, etc. At the same time, it is difficult to get market prices to evaluate.

In addition, if you are acquiring assets without considering your equity, standing at the buyer's position, the stock price of the equity is difficult to accept, or only the ability to buy a small part of the assets.

For investment business owners, the most important thing is to consider the value -added of future assets and the value -added of the stock price.

Equity acquisition is not necessarily because of personnel, business, etc. For example, most of the Internet companies do not have high -value tangible assets. If you rely on intangible assets as part of the acquisition, many unknown factors will be played in asset valuation.

Through equity, the market's valuation method of such industries can be used to obtain a higher price -based purchase price.

The sale of equity is more beneficial. Strictly speaking, asset acquisition or equity is also very complicated. In addition, administrative complicated factors are definitely not the principles that need to be considered.

However, asset acquisition and equity acquisition are not opposite. Sometimes it can be used in a merger and acquisition case and is flexibly used.

Through the combination of the two to obtain high -quality assets, eliminate potential debt, and avoid major disputes, they finally shake off their baggage and light up.

In the company's mergers and acquisitions, in order to ensure the success of the acquisition, large companies are often cautious about the choice of acquisition methods, and sometimes spend a lot of time, energy and costs at all.

However, some investors who are not deeply involved in the acquisition of mergers and acquisitions are based on their own feelings about the target company. Sometimes they even consider that the purchase of equity can be paid less at the moment, and they make the final decision.

Corporate owners must conduct necessary investigations on target companies.

It is best to commission professional institutions to conduct due diligence. The degree of risks and risks of the target company will be clear. You can also take measures to eliminate risks or reduce risks. In terms of measurement of the advantages and disadvantages of equity acquisition and asset acquisition, so as to choose a more favorable acquisition method.

Source: Jie Brother chats equity, reprinting this article is out of the purpose of passing more information. If there is an error or infringe your legitimate rights and interests, please leave a message, we will correct and delete it in time, thank you

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