Management Buy-In

January 20, 2014  |     |     |   0 Comment

A management buy-in (MBI) refers to a situation in which an outside group of managers pool their financial resources to acquire an existing business. They generally fire the existing management and take over full management of the business.

They usually make this investment of time and money because they believe that the business is undervalued, and with their combined skills, they can operate and improve the business better than the previous managers could.

An MBI differs from a Management Buyout (MBO) in which existing managers pool their financial resources to acquire the business that they already manage.


Kris Tabetando provides mergers & acquisitions (M&A) advisory and brokerage services to Internet companies. He also partners with investors to acquire & manage Internet businesses.

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