When a credit union or other financial services company in Colorado or elsewhere merges with another entity, it may expose itself to any risks posed by that enterprise. It may be a good idea to have a cybersecurity professional analyze any risks that another business may pose if it is acquired. Such a review should focus on potential problems related to people and processes just as much as it does on issues related strictly to IT.
A study by EY found that high corporate tax rates may slow the rate of mergers and acquisitions in the United States. This may make it harder for business owners in Colorado to exit their companies or grow them over time. The study also found that taxation of international business income may give foreign companies an advantage when it comes to bidding for companies around the world.
It is natural for Colorado residents to attempt to maximize returns during strong markets and protect against losses in weak markets. However, many small business owners don't take this approach when it comes to their companies. While they may work hard to grow their companies, they might not seek help and guidance to maximizing values.
For owners looking to sell a Denver business, contracting with a broker could result in a higher price and better terms. Absent unsolicited offers, owners put a lot at stake when they pursue an exit. Word of mouth and other advertising efforts could result in loss of key employees, damage to supplier relationships and a resulting loss in value. The right owner may not even be found in the local market. A business broker can help by matching sellers with motivated buyers.
Investors in Colorado and elsewhere in the country are getting fewer chances to put their money into innovative startup businesses as more and more of them are eschewing initial public offerings and instead choosing to be acquired by larger companies. Fewer IPOs were available to investors on American exchanges in 2016 than during any year since the financial crisis, but the number of mergers soared to levels not witnessed in almost a decade.