The technology industry continues to fuel mergers and acquisitions activity just as frequently as new start-ups are entering the marketplace. When reading a headline announcing the latest acquisition event, certain questions may arise:
- How will this impact current customers and partnerships?
- Will it be disruptive to any existing business or opportunities identified?
- What does it mean to my company and how we conduct our business?
- How long will it take for this transaction to be completed?
- What happens if the deal isn’t approved? Will it have a negative impact on business?
- Will there be any personnel changes in the organization?
- Is there an opportunity to leverage the benefits of working with this soon-to-be ‘new company’?
For partners, this situation has occurred frequently over the past few years, and M&A activity seems to be increasing. One of the concerns is trying to navigate through the transition period as both companies come together. It’s a daunting task to integrate all of the operations, staff, processes, customer and partner communities, along with other financial requirements.
There are some best practices you can leverage to ensure your business remains consistent without any interruptions:
- Be proactive and follow up on open action items to get them resolved quickly
- Set realistic goals for closing current opportunities in the pipeline
- Confirm all of your partner contracts and customer agreements are current
- Stay current with your financials- both receivables and payables
- Review the current solution roadmaps to understand the product strategy and direction
However if you want to capitalize on this opportunity here are some recommendations to bring your business to the next level:
- Create a target list of prospects to identify new opportunities and develop a 90 day plan
- Engage your channel account manager to discuss strategies for expanding the customer base
- Brainstorm how to position a ‘combined solution’ highlighting the benefits of both providers
- Identify industries that have business challenges which can be addressed by these solutions
- Invest in sales training and certification programs to ensure your teams are ‘market ready’
- Compile a list of marketing campaigns and programs to align with your sales strategy
- Leverage economies of scale to reduce your operating costs and utilize shared resources
Ultimately, there may be opportunities that surface once the deal is complete which can positively influence your business. Be positive and proactively identify how your business can benefit directly from this new organization. Stay creative and define what success means to your company- acquisition of net new customers, increasing profitability, gaining new skills and certifications, driving top line revenues, leveraging additional resources, and forging new relationships with extended members of your team. Before the ink is dry, have a clear understanding of how to approach this new organization and take the necessary steps to ensure it results in a strategic partnership.