Business Acquisitions: A Strategy That Drives Growth
August 3, 2022 | Bonnie Elgie
Growth through acquisition is an effective strategy for businesses looking to growth quickly. While the evolving global economic conditions may cause a slowdown from the record-breaking pace set in 2021, there are still plenty of opportunities for companies looking to grow through acquisitions.
BDC’s Business Acquisitions: A Strategy That Drives Growth study finds that entrepreneurs who choose to grow through acquisition are twice as likely to experience sales growth above their industry average than those who grow organically. This is true regardless of the size, age, industry, region or level of internationalization of the company.
In this special issue of the BTF Insider, check out the study to learn more about:
- Factors driving the M&A market
- A driver for SME growth
- Roadmap to a successful acquisition
If you are looking to grow or transition over in the future, this resource will provides helpful insights to prepare for a business acquisition, advice on how to move through the pre-sale negotiations, due diligence and purchase agreement stages, and ultimately get ready for a successful post-merger integration.
The Canadian mergers and acquisitions (M&A) market has rebounded rapidly following its dip in the early days of the pandemic.
Looking ahead, the volume of transactions will likely remain high for the next five years. In that time, 9% of Canadian small and medium-sized enterprises (SMEs) are expected to come up for sale externally, representing 116,000 businesses.
This positive outlook for M&A could be good news for the Canadian economy. After surveying more than 1,500 entrepreneurs, BDC found that acquisitions are an exceptional driver of growth. Its advantages include getting new talent and accessing new technologies.
Compared to organic growth, businesses that pursued acquisitions are twice as likely to experience sales growth above their industry average.
Download our free study for more of our findings, as well as tips from BDC experts.
- Factors driving current trends in the M&A market
- Insights to help you use acquisitions as part of your growth strategy
- Case studies of two Canadian companies who made successful major acquisitions
- A complete roadmap to guide your own business purchase
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