How the weaker pound could make your business more attractive
28th October 2022As the British pound falls to record lows against the dollar, this generally has severe consequences for many businesses, especially those buying from the US. Unless companies have already bought forward or hold dollars, the impact will be much higher purchase prices for their goods. For low margin businesses, this could have the potential to wipe out any gross profit margin.
However looking at this from a different angle, the cheaper pound means it is likely that overseas investors will see UK companies as more attractive for investment. During this period of toughening economic environment, UK companies could have more international appeal than ever before. In particular, the US are typically the most active overseas acquirer into the UK. This is definitely something to consider if you are considering selling your business, particularly when considering which markets you may like to target for an acquirer.
We can assist with finding you a buyer for your company, and guide you through the sales process. Contact your local office or usual Whitings contact for more information.
Disclaimer - All information in this post was correct at time of writing.
