Compliance Stuff

Across all industries, private companies, family offices, and their owners and management teams face rapidly evolving challenges, opportunities, and risks in the dynamic environment that is 2025 . Here are 11 issues that family offices and the owners and leaders of privately held companies should consider and be mindful of this year. 1. Mergers and Acquisition Landscape Much like 2024’s mergers and acquisitions (M&A) market, there continues to be a significant demand for deals due to pent-up undeployed capital and increased interest from financial sponsors. This includes increased interest from sell-side financial sponsors in selling private companies held by their early-vintage funds in order to open up opportunities to launch new fundraising endeavors. However, in evaluating potential M&A transactions, private companies (buyers in particular) will need to navigate a complex regulatory environment. Regulatory changes from the Trump Administration could spur significant M...

Due diligence may not be glamorous, but it is the bedrock of a successful deal. Put simply, due diligence is the process of meticulously examining every nook and cranny of a target company’s operations, finances, and legal standing to ensure that a merger or acquisition is a smart business move. In this article, we will consider the importance of due diligence and the due diligence steps that acquiring companies should undertake before closing a deal. What is the purpose of due diligence? At its core, d ue diligence is about risk mitigation and informed decision-making . It is the process through which a potential acquirer evaluates a target company’s assets, liabilities, and overall business health. The primary goal is to understand the potential risks associated with a transaction. It involves examining legal, financial, operational, and other relevant aspects to uncover any issues that could impact a deal’s outcome. Due diligence also helps organizations verify the accuracy of inf...

 Pension plans are increasingly rare these days.  If a business is considering acquiring a company that sponsors a pension plan, there are new diligence and deal considerations that come into play for the transaction(s).  This can be daunting. especially if the business does not already sponsor a pension plan. Pension plans are fundamentally different than defined contribution plans, such as 401(k) plans, in may respects. JD Supra shares some issues that businesses should consider if the target entity sponsors a pension plan: 1. Do You Understand the Funding Status of the Pension Plan? Pension plans are not required to be fully funded, i.e., it is not a legal requirement that the plan’s assets equal the plan’s liabilities. The “funded status” of a defined benefit pension plan can be viewed in different ways depending on the purpose for which the funding status is determined. For example, a pension plan that is considered “fully funded” (at 100% or more) for the plan’s mos...