Lambert Chapman LLP's Nigel Whittle with his Corporate Finance hat on asks, "Is it time to buy?"
The availability of credit up until the ‘crunch’, fuelled ever increasing prices as the bubble continued to increase expectation.
The bubble has since burst and the acquisition market faltered as the credit crunch hit.
Although there is still along way to go, many are reporting a gradual strengthening of the economy. It is being suggested that the market is now starting a slow recovery, with realistic prices being available for acquisitions.
For many this could be an ideal opportunity as:
- External factors have reduced profits which will depress prices.
- The banks are slowly increasing their funding availability.
The reality is that the same company could be viewed as better value than at the peak, when the economy went from strength to strength.
The advantages of making an acquisition include:
- Allows quick expansion of an existing business.
- Allows entry into new markets or geographical areas.
Lambert Chapman LLP provides full assistance through the acquisition process. We are able to assist in identifying potential targets, liaising with the legal and professional advisers and in ensuring best value is achieved. If you would like to discuss this further, Nigel can be contacted on 01376 326266.
Date:26 January 2010
Lambert Chapman LLP is a limited liability partnership registered in England and Wales under registered number OC328593. The Registered Office is 3 Warners Mill, Silks Way Braintree, Essex CM7 3GB. Partner denotes member of the LLP.
Registered to carry on audit work and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales.
Registered with the Chartered Institute of Taxation as a firm of Chartered Tax Advisors