We’ve seen it happen – even the most carefully planned M&A deals can be derailed as the finish line comes into sight. Seasoned investors and serial entrepreneurs alike can be caught off guard by a single oversight in a cap table. What seems like a promising funding round turns into a negotiation quagmire when multiple […]
Tangled Equity: Navigating the Minefield of Complex Cap Tables Read More »
When a founder sells their company, the headline price often feels like the culmination of years of hard work. There’s the euphoria of seeing the finish line at last. But that headline figure is not the same as cash in hand. Deals can, and often do, falter in the long stretch between signing and completion.We’ve
From Headline Price to Cash in Hand: Navigating the Final Stretch of your Business Sale Read More »
Great deals rarely fail on strategy – they stumble on execution. Investment memos model TAM (Total Addressable Market) and competition elegantly. Where value often leaks is in the plumbing: regulatory paths, contract transferability, data protection exposure, people risk, tax, and the assumption that targets are tidy when the reality is far more messy. If you’re
Deals in Africa: Price the Execution, Not Just the Story Read More »
Founders often think “exit-ready” equals “we spun up a data room.” In reality, buyers price certainty above all – and certainty is built long before diligence starts. The fastest way to a clean deal (and a higher headline price that actually converts to cash) is to fix what breaks deals long before an LOI lands.
Exit-Ready Isn’t a Data Room. It’s Discipline. Read More »
Acquisitions involve the takeover of one “target entity” by another entity (the “acquiring entity”). Their aim is to achieve value. Successful acquisitions play a significant role in business growth. Through them, businesses can expand into new markets, increase their range of products and services, and their competitiveness. Not all acquisitions are successful. Given that they
Successful Acquisitions Read More »
What is meant by ‘mergers and acquisitions’? The term refers to that category of transactions which come about where one company wants to buy, or make a significant investment in, another company’s business. Whether you are considering selling your business, or whether you are looking to acquire an existing business, the stages through which the
With the one-year grace period for compliance with the Protection of Personal Information Act (POPI) ending on the 30th of June 2021, it’s difficult to think about anything outside of your own organisation’s compliance (well at least for us compliance fanatics, that is). However, if you’re considering an M&A deal currently or in the future,
M&A Deals: Have you thought about POPI? Read More »
The National Credit Act 34 of 2005 (“NCA”) requires that, if you are selling your shares or assets in a company to a purchaser, and you have structured the sale such that: The full purchase price, or a portion thereof, will be paid at a later stage either in installments or one bullet payment; and
Selling Shareholders Beware: How the NCA affects Vendor Financed Transactions Read More »
A sale of business or shares usually follows a predictable pattern. In many cases, the seller agrees to transfer business assets or shares before receiving final payment, which is referred to as a ‘deferred payment’ or ‘deferred loan’. A seller may agree to transfer ownership on a deferred payment basis for various reasons, including a
Deferred Payment Sales: Risks and Mitigation Tips for Sellers Read More »
Navigating a term sheet for the first time can be a daunting process. In this article, Caveat private equity specialist Panel Member, Sarah Lawrence, answers some of the most common questions asked by entrepreneurs. What is a term sheet? A term sheet is a summary of the key commercial and legal terms upon which an
The Term Sheet: Notes for its Navigation Read More »
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Caveat's ai attorney,
Ask our AI a question about this topic, and one of our specialist lawyers will review the response and email you within 24 hours, free of charge.
KAI is free for Caveat friends and clients. To use KAI, complete the form below and look out for the AI’s answer, reviewed by a specialist lawyer, in your inbox. For the most accurate and helpful response, be as specific and detailed as possible. Provide all relevant facts and clearly state what you’d like answered.
Disclaimer: Kai is provided by Caveat in a bona fide attempt to make legal services more accessible to you. Caveat will not be liable for any damage, loss or expense arising from the use of this offering.
Feedback Welcome: Your experience matters to us. Please share feedback on this offering at info@caveatlegal.com to help us improve its efficacy.
