React faster and bring greater insights to your M&A activities.
When mergers or acquisitions occur, there’s usually very little time to react. You’re under pressure to assess any obligations or risk exposures, to reduce those risks, and to ensure a smooth integration process. During critical times like these, being able to manage and gain insights into contracts makes all the difference.
If you’re the acquirer, you assume the commitments, liabilities, and obligations of the company you’ve purchased. The problem is that when contract intelligence isn’t available, these factors aren’t accurately considered in the valuation, potentially affecting the accretive nature of the transaction.
Post-acquisition, reviewing existing contracts and integrating the contracting process and contract data is a core part of integration work. When done through a manual legal review, the process can take months, or even years, depending on the size of the acquisition. It’s a painfully slow way of identifying the hidden warranties, product liabilities, most favored nations clauses, complex pricing structures, and other potential risks those contracts might include.
That’s why automation for contract discovery and analytics, along with the visibility into large sets of various types of contracts that it yields, is mission-critical for M&A.