Budgeting your Acquisition Integrations
Understand what is needed to create a budget that empowers the delivery of M&A value
3 Aspects of Integration Budgeting a paper, from Intista
The integration of an acquired business with the acquiring business is rarely straightforward. The scope of integrations change as discoveries are made about the complexities of merging two disparate businesses into a well-functioning one.
Acquiring a business is never cheap, so there is a natural focus on careful expenditure after closing the transaction. The Finance Team and Steering Committee should be given a plausible, pragmatic cost to integrate the businesses together.
With so many unknowns, how do you create a workable budget?
It is the integration of the two businesses, not the transaction, where the challenge of achieving M&A value is at its toughest. However, if it is underfunded the opportunity for value creation is lost.
Delivering value requires planning.
With so many unknowns, how do you create a workable budget?
This paper identifies
- 1Cost of planned projects of the integration and necessary fixes
- 2Budgeting for the inevitable surprises
- 3Financing programs that prevent future lost revenue opportunities
Patrick Xiao
Shanghai, China
Wallaby Medical Devices
Head Of Information Technology
Strongly Recommended
Definitely Steve and his company will be strongly recommended to our partners. I would say that if we have any chance doing the project based in USA and Europe, they will be on the preferred vendor list for sure.
The Benefit of Our Post-Merger Integration Experience
The Intista team has been delivering lower-mid and mid-size integrations for years. This rich source of experience has been used to create this valuable resource.
This paper begins by discussing business changes that should be undertaken well before an acquisition is underway. By the time a transaction is moving through the acquisition process, opportunities are lost in setting up a business environment that consistently delivers the value of acquisitions, through successful integration.
Do not hesitate in learning what you should do to become successful serial acquirers.
Task list development is a key part of Intista's Certified Acquisition Integration Manager training program.
Our training walks you through our Small business Simple Integration Method (SSIM). Click here to learn more
About Intista
From the onset, we saw the need for acquirers to pay close attention to their human capital and experience by promoting the personnel who were invested in it's success. However, smaller businesses were either using an overly complex process - or no process at all, so we went back to first principles and created the Small business Simple Integration Method™ (SSIM™). It
- Provides a logical step process, playing to the agility of smaller businesses
- Identifies clear roles, responsibilities and priorities that are appropriate for the work ahead
- Communicates to all stakeholders with easy-to-understand, unambiguous language
The SSIM™ is central to our mission in empowering and supporting acquirers to successfully integrate their acquisitions with size-appropriate process and engagement.
Click here to learn more about our M&A integration certification program, or schedule a call with us for one-on-one consulting.
Jeff Provost
Founder
"I've done a lot of strategy and execution work with companies looking to grow and was looking for a good framework to use to help get a tricky M&A business integration back on track after a year of challenges faced by the leadership team. Going through the CAIM program and getting access to the great tools and resources has helped me to get this integration on track and build the framework for the next acquisition in the coming year."
*The Challenge of Integration: A Review of the M&A Integration Literature, Norbert Steigenberger, 2016