We see much in the financial press about business sales and acquisitions as being an important barometer of economic activity. I thought it would be interesting to focus a little on this fascinating subject.
The question of how to grow, organically or through acquisition is one which always gives rise to debate among finance professionals, business advisers and businessmen themselves. Yet the answer to the question lies in the question itself and comes from a mathematical truth: two plus two always equals four (except, according to physicists, in the case of a nuclear reaction – an event that we can safely conclude would be bad for business). Growth can only ever be organic. Acquisition may make a business bigger but it is not growth. Though we should not make the mistake of thinking that it is there bad, and this article invites you to consider why you might acquire another business.
Continue reading “To acquire or to grow organically?”