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Question for the Experts: Mergers and Aquisitions

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    Question for the Experts: Mergers and Aquisitions

    If you aquire a company, you pay x amount to buy the company, how do you stop the key staff from leaving ?

    What are the best legal mechanisms to tie key staff into an aquisition deal ?

    Milan.

    #2
    Originally posted by milanbenes
    If you aquire a company, you pay x amount to buy the company, how do you stop the key staff from leaving ?

    What are the best legal mechanisms to tie key staff into an aquisition deal ?

    Milan.
    Dunno about legal (You can't legally make anyone work for you, you can just stop them working for someone else), but usually I'd guess it's a very large pile of wonga. Anyway, for us techs it's normally the reverse - how can we make lot's of staff leave without having to give them a payout, so we can realise 'business synergies' blah blah blahllocks.
    Hang on - there is actually a place called Cheddar?? - cailin maith

    Any forum is a collection of assorted weirdos, cranks and pervs - Board Game Geek

    That will be a simply fab time to catch up for a beer. - Tay

    Have you ever seen somebody lick the chutney spoon in an Indian Restaurant and put it back ? - Cyberghoul

    Comment


      #3
      Originally posted by snaw
      how can we make lot's of staff leave
      lots
      We must strike at the lies that have spread like disease through our minds

      Comment


        #4
        Originally posted by milanbenes
        If you aquire a company, you pay x amount to buy the company, how do you stop the key staff from leaving ?

        What are the best legal mechanisms to tie key staff into an aquisition deal ?

        Milan.
        Make the key staff directors of the company with share options. Then they know that after the buyout they stand to make a lot of money, hence they stay. You can't stop someone from reseigning, but you can put them on a long (6 months) notice period.

        Comment


          #5
          Originally posted by milanbenes
          If you aquire a company, you pay x amount to buy the company, how do you stop the key staff from leaving ?

          What are the best legal mechanisms to tie key staff into an aquisition deal ?

          Milan.
          Hard Brexit now!
          #prayfornodeal

          Comment


            #6
            thanks DP,

            very useful, it that as much as can be done

            can you make contract where if they leave they cannot
            set up business in the same field for x amount of time ?

            are such contracts valid ?

            someone told me they don't hold up in the EU court because the EU
            court says a man cannot be stopped from making a living in the area
            in which he is qualified or something like that

            non-competition clauses ?

            Milan.

            Comment


              #7
              It all went wrong for us business types Milan when they abolished slavery

              Comment


                #8
                The question has to be why Milan?
                Are you thinking of tying in the blonde Arian staff and cleansing the rest?

                Comment


                  #9
                  Dim is right - Directors and such get extra big bonus if they stay for X months after acquisition _and_ it becomes their job to tell staff what's necessary in order to keep them. What they say is generally text-book answer - that things will be much better now, etc etc etc - generally enough to get same poeple going for 6-9 months after which normally first round of redundancies happens which is of course billed as "the first and the last", naturally more follow until the company is buried deep underground.

                  Comment


                    #10
                    Originally posted by milanbenes
                    thanks DP,

                    very useful, it that as much as can be done

                    can you make contract where if they leave they cannot
                    set up business in the same field for x amount of time ?

                    are such contracts valid ?

                    someone told me they don't hold up in the EU court because the EU
                    court says a man cannot be stopped from making a living in the area
                    in which he is qualified or something like that

                    non-competition clauses ?

                    Milan.
                    I'm pretty sure it's possible to stop someone leaving your firm and setting up a rival company for a set period of time, after which they can do what they want. Not sure if this has to be in the initial contract though or a general law.
                    Hang on - there is actually a place called Cheddar?? - cailin maith

                    Any forum is a collection of assorted weirdos, cranks and pervs - Board Game Geek

                    That will be a simply fab time to catch up for a beer. - Tay

                    Have you ever seen somebody lick the chutney spoon in an Indian Restaurant and put it back ? - Cyberghoul

                    Comment

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