Scott Dylan is a merger and acquisitions investor who manages buyouts that transform companies using proven business strategies. Scott is the founder of Fresh Thinking Group that develops restorative strategies for start-ups, struggling companies, and businesses planning for growth. Companies under Fresh Thinking Group benefit from top-level business functions and collectives, enabling exponential growth.
Scott Dylan, an expert on mergers and acquisitions, has these valuable thoughts on building successful businesses following the M&A route.
- Acquire companies with low margins and returns on the invested capital
You are well-positioned to improve the overall performance by acquiring reducing costs of an acquired company to improve cash flow and margins.
- Consolidate excess capacity of an industry
Industries after maturing tend to supply more, something that reduces demand. Companies with purchasing power can remove the excess capacity by acquiring competitors and create substantial value. Seasoned strategists like Fresh Thinking Group help to identify sources of excess supply that are profitable to acquire.
- Maximize on Small Business Innovations
Small businesses, despite innovation, are unlikely to reach market capacity. Larger with resources companies can take advantage of the small business limitations by acquiring those with the potential to become their conduit for reaching more product or service markets.
- Acquiring companies with technologies and desirable skill sets
Companies searching for specific technologies or skills sets can acquire them faster at less cost by acquiring companies already with these technologies. It is the reason many tech companies acquire others when they want to expand. Scott Dylan reveals that acquisitions also help avoid paying royalties on patented technologies and protect them from competitors.
- Early capitalization on companies and markets with potential
Effective timing determines the success of acquisitions. Early investment before competitors realizes the growth potential helps to capitalize on the products line. Scott
Dylan of Fresh Thinking Group emphasizes considering all angles to determine businesses with the most potential to help in the expansion of your business.