Don’t Forget About Workers’ Compensation During A Deal [Video]
No company wants to overpay during a merger and acquisition deal. When determining the value of the target business, it’s important to pay attention to workers’ compensation.
Unfortunately, it’s possible to miss these details, and to buy a company that has significant hidden compensation liabilities. These will transfer to the buyer, which could end up facing a far more expensive deal than it initially bargained for.
Buyers should complete a comprehensive review of the target company’s policies to determine whether there are glaring red flags that will need to be managed immediately before the purchase can go through.
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