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Contract Negotiations M&A Brokers

Goulston & Storrs PC

What's Market: Purchase Price Adjustments

Goulston & Storrs PC on

Purchase price adjustment provisions are designed to reflect changes in the target's financial condition that occur prior to the closing of the transaction. For example, if on January 1, a transaction is valued, or priced, at...more

DarrowEverett LLP

How Earnout Provisions Can Supply Great Value for Buyers, Sellers

DarrowEverett LLP on

Earnout provisions can be an effective tool for addressing the potential disconnect between a seller’s expectations and a buyer’s ability to pay when negotiating a business combination transaction. Earnout provisions, or...more

Tonkon Torp LLP

Earn-OUCH: Post-M&A Transaction Earn-Outs In Light Of COVID-19

Tonkon Torp LLP on

Often, the parties in a business sale will designate a portion of the purchase price to be paid out over time or otherwise made contingent on the performance of the business after the transaction is complete. This “earn-out”...more

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