They say “a deal dies 20 times before it gets done.” Anyone who’s been through the M&A process knows—that’s not an exaggeration. It’s reality.
Even the smoothest acquisition journey is filled with uncertainty, emotion, and negotiation drama.
That’s why understanding the full M&A flow is critical, not just the mechanics, but the psychology, pressure points, and the hidden moments where deals quietly begin to fall apart.
💥 Here’s How a Deal Starts Dying – From the Seller’s Side
❌ Strike One: The seller receives a non-binding offer and feels insulted by the valuation—there’s no room to negotiate.
❌ Strike Two: They learn they’re expected to stay involved post-sale… longer than they imagined.
❌ Strike Three: The buyer includes a restrictive non-compete clause that limits future freedom.
❌ Strike Four: The structure of the deal (earnout-heavy, low upfront) doesn’t reflect their risk tolerance.
❌ Strike Five: The seller second-guesses everything—for personal, emotional, or legacy reasons.
Even before due diligence begins, these early-phase issues can shake the deal’s foundation.
🔍 Now Flip It: What About the Buyer’s Side?
There are a million reasons to walk away, and many buyers do:
👉 Red flags in due diligence
👉 Weak quality of earnings or accounting surprises
👉 Unrealistic financial projections
👉 Debt financing complications
👉 Cultural misalignment between teams
👉 Unclear leadership plans post-acquisition
👉 Integration risks too high to justify the price
Deals fall apart when the buyer can no longer reconcile the price with the risk.
🧭 M&A Flow = A Journey Full of Deal Killers
From initial interest to signed SPA, the M&A flow includes:
1️⃣ Teasers and NDAs
2️⃣ CIM review and strategic alignment
3️⃣ Initial offer and valuation assumptions
4️⃣ Management meetings
5️⃣ Due diligence
6️⃣ Final offer / SPA negotiation
7️⃣ Financing, closing conditions, integration plan
8️⃣ Signing + post-deal transition
At every stage, a small issue can become a major red flag—and a deal breaker.
That’s why M&A is not just financial—it’s emotional, operational, and strategic.
💬 What’s the Most Interesting Deal Breaker You’ve Seen?
📉 A seller walking away because they weren’t ready to “emotionally let go”?
📈 A buyer backing out after finding one bad hire in the leadership team? 🧠 Or maybe… a post-LOI cold feet moment?
I’d love to hear your insights.
Let’s open the discussion: What’s one surprising reason you’ve seen a deal fall through? 👇 Hit reply or share your story!

Grab my M&A process tracker template and master each phase with clarity:
🔗 Download the high-resolution PDF here.
