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Design and Manage Transition Service Agreements to Achieve a Fast and Clean Separation

Fast break


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A transition service agreement (TSA), when used wisely, offers some important benefits, such as a faster close, a smoother transition, reduced transition costs, better end-state solutions and a clean separation. However, divestitures that get the TSA wrong may drag on for much longer than expected.

In our latest point of view, "Fast Break – A way to design and manage TSAs to achieve a fast and clean separation," Indira Gillingham, senior manager and Mike Stimpson, manager, with Deloitte Consulting LLP, provide practical advice for using TSAs to achieve a fast and clean separation. A TSA can accelerate the negotiation process and financial close by allowing the deal to move forward without waiting for the buyer to assume responsibility for all critical support services.

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