Buyer
What It Means
The term Buyer can refer to any person, group of people, company, or financial firm that purchases a company in an Acquisition.
Why It’s Important
In the sale of any business, there is a Buyer and a Seller. There are many types of Buyers, and likelihood of their interest in and willingness to pay for acquiring a company depends on a variety of factors. Some Buyers have dedicated teams to reach out to the owners of businesses that meet certain criteria in an attempt to find off-market acquisition opportunities, a practice known as proprietary sourcing. Other Buyers prefer to take a more reactive approach, choosing to work with Business Brokers, Investment Banks, and other intermediaries to source deal flow. Buyers and Sellers need to be able to find one another for the market to work.