As the saying goes, “Rome wasn’t built in a day.” Anyone who has ever been a part of a merger or acquisition knows this to be true.
The time frame can vary depending on the deal’s complexity, ranging from 6 months to several years before a merger or acquisition is closed. Because the timeline is so long, unexpected obstacles can often occur—for example, what if a key employee leaves or an unforeseen circumstance like COVID-19 changes the business’s profitability?
The Letter of Intent may include a draft of the potential timeline, but it is highly recommended to leave room for any unforeseen circumstances that may come up.