"Big Bang" acquisitions can often lead to poor capital allocation, tying up resources that could be more effectively deployed elsewhere. Here's why opting for frequent, smaller deals is a financial win.
Liquidity: Smaller deals typically don't strain your cash reserves as much, maintaining liquidity.
Return on Investment: Smaller deals usually translate to quicker returns, letting you redeploy capital more efficiently.
Strategic Focus: By avoiding the debt burdens often associated with big deals, you retain more control over your strategic focus.
In essence, smaller acquisitions offer greater financial flexibility and control, ensuring that your capital works harder and smarter for you.
Is your M&A strategy maximizing your capital efficiency?
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