Management buy-in

Management buy-in

A management buy-in (MBI) occurs when a manager or a management team from outside the company raises the necessary finance, buys it, and becomes the company's new management. A management buy-in team often competes with other purchasers in the search for a suitable business. Usually, the team will be led by a manager with significant experience at managing director level.

The difference to a management buy-out is in the position of the purchaser: in the case of a buy-out, they are already working for the company. In the case of a buy-in, however, the manager or management team is from another source.

Buy-in management buyout (BIMBO)

A buy-in management buyout is a combination of a management buy-in and a management buyout. In the case of a buy-in management buy-out, the team that buy out the company are a combination of existing managers and individuals from outside the company who will join the management team following the buy-out. The term BIMBO was first used in respect of the purchase of Chaucer Foods, a Hull based crouton manufacturer, from Hazlewood Foods plc in 1990.[citation needed]

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Look at other dictionaries:

  • management buy-in — ➔ buy in * * * management buy in UK US noun [C] (ABBREVIATION MBI) ► FINANCE, WORKPLACE the situation in which a group of managers who do not work for a company buy enough shares in it to be able to get control of it: »A management buy in team… …   Financial and business terms

  • management buy-in — The same as a management buy out (MBO) except that the management team making the acquisition are not the present managers of the target company. Easyform Glossary of Law Terms. UK law terms. management buy in …   Law dictionary

  • management buy in — (MBI) Similar to a management buyout but managers or a management group from outside the company lead the acquisition. Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com …   Law dictionary

  • management buy-in — noun The purchase of a controlling share in a company by an outside management with support from banks, etc • • • Main Entry: ↑manage …   Useful english dictionary

  • Management buy-in — El Management buy in (MBI), al español compra con inserción del ejecutivo es la adquisición de una empresa por parte de un ejecutivo externo o con la ayuda económica de un inversor pero con la ayuda de un ejecutivo externo. Este escenario se… …   Wikipedia Español

  • Management-Buy-in — Von Management Buy in (MBI) spricht man, wenn ein Unternehmen durch externes Management übernommen oder die Übernahme mit Hilfe eines Investors durch ein fremdes Management forciert wird. Dies kommt vor allem dann zustande, wenn ein externes… …   Deutsch Wikipedia

  • management buy-in — /mænədʒmənt ˈbaɪ ɪn/ (say manuhjmuhnt buy in) noun the employment of an external management team to run a business or organisation …   Australian-English dictionary

  • Management-Buy-in — Ma|nage|ment Buy in [...bai in] das; s, s <zu engl. to buy in »(sich) einkaufen«> Übernahme eines Unternehmens durch den Erwerb von Geschäftsanteilen von einem externen Manager od. Managementteam; Abk.: MBI …   Das große Fremdwörterbuch

  • management buy-in — The acquisition of a company by an outside team of managers, usually specially formed for the purpose, often backed by a venture capital organization. Their normal target is the small family owned company, which the owners wish to sell, or… …   Big dictionary of business and management

  • management buy-out — A transaction where a company is bought by its existing managers from the person, family or company which owns it. Usually this involves their raising development capital for a new company which is then used to buy the target company. Compare… …   Law dictionary

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