Peak at the right time and you win a championship; even if your team wasn’t the best over the whole season. Buy another business at the right time and your sales, profits and exit options grow exponentially. Here are 5 reasons why small and mid-sized companies should consider growing by acquisition.
1. To expand your customer base and your product base. Sell your products to the acquisition’s customers and their products to your customers. All without adding to your sales force.
2. To get great employees who are not in the job market. Because you give more opportunities they’ll want to stay and help you grow.
3. Access to vendors who might not consider you as a source to sell their products.
4. Enlarge your geographic footprint without the hassle and cost of starting a branch office and having to steal customers from competitors. This may also get you a desired location that otherwise is unavailable.
5. Eliminate a competitor so you can dominate a market or a niche.