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What do you know about merging with another business?

On Behalf of | Jan 4, 2022 | Business Law

To take your business to the next level, you want to merge with an existing company in North Carolina. Because this represents your first merger, you want to make sure you understand the process fully.

Chron explains the procedure for combining two companies. Ensure you know how to make the merger a success.

Vertical or horizontal merger

If you want to merge with a competitor, plan for a horizontal merger. Vertical mergers involve suppliers and businesses coming together to form a new company.

Merger details

Discuss essential merger details, including whether you plan to share stock options, which depend on each company’s current stock worth. You may also want to review the specifics of the business deal with an experienced professional. You deserve to know whether the merger breaks laws regarding monopolies and blocking competition.

New name

Because a business merger involves two companies creating a single new entity, you and your new business partners may want a new name. If you operate under a new company identity, you likely want to launch a new branding campaign. That way, your competitors, suppliers, vendors and customers know who you are. Consider combining aspects of your current logos and names into something new. That way, your customers have an easier time recognizing your products or services.


With horizontal mergers, companies must take care that they do not carry over redundant positions and departments. After the merger, it could become necessary to get rid of redundancies, which often involves keeping the most-essential workers with the most desirable skills and experiences.

A business merger should make you feel excited, not worried. Educating yourself on the process may help to put you and your employees at ease.