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Reasons for Starting a New Company
The decision to start a new company instead of expanding an existing one was driven by several core reasons. Firstly, to achieve brand and market clarity, essential for differentiation from competitors and attracting clients. Secondly, the cultural and talent differences between a professional services organization and a software company required a distinct approach. Lastly, considering future mergers and acquisitions (M&A) and potential exit strategies, the separation of the new company was crucial to avoid complicating buyouts. This strategic decision aligns with the goal of creating brand clarity, fostering a unique culture, and opening possibilities for future M&A deals, as outlined in classic business strategy principles.