International mergers and acquisitions can be the perfect solution for any company looking to expand their brand overseas.
However, the M&A of any two companies can present numerous challenges. The data collection and due diligence alone can seem like a mammoth task.
The purchasing company will need to consider:
- Finances
- Employees
- Legal documents
- Company policies
- Taxes
- Government paperwork
- Handovers
- And more.
The list can be exhaustive, and that is before we consider both the languages and regions of the companies in the proposed agreement.
For example, from the list above, government paperwork could be in a different language and may follow completely different global regulations.
Ultimately, it’s highly recommended to search for the support and advice of a legal translation agency, in addition to the usual corporate legal support.
Quick background
Just to give a quick background of Wolfestone's credentials.
Of course, we are a legal translation company. But also, we have experience with M&As.
We have acquired companies both in the UK and abroad, from Robertson Languages to a German company formerly known as Pursuit, now Wolfestone DE.
However, we'll be up front, our expertise is focused on legal translation and that's what we will talk about in this blog. We'd highly recommend also speaking to a corporate law firm.
The need for legal translation accuracy
Legal text is known for its complexities, and it wouldn’t be uncommon for even native speakers of a language to have difficulty understanding what is being communicated.
Legal texts frequently contain terminology and phrasing that wouldn’t be found in everyday speech, and some legal terms and phrases used may be specific to the laws of a particular country or region.
In a nutshell, the complexity of legal translation can mean that a direct translation may not be possible, especially by machine translation or a translator not versed in legal terms.
When it comes to document translation for international mergers and acquisitions, though, accuracy is king.
An accurate and legally sound translation is vital to assisting a smooth and successful international takeover or merger.
A vague or ambiguous translation can have severe implications on the legal process. Not only could it disrupt proceedings, costing thousands in legal fees, but it has the potential to damage an existing agreement between the companies involved.
To ensure the highest quality legal translation of your international mergers and acquisitions material, a talented, knowledgeable, and experienced translator is an absolute must-have.
Your translator must only ever translate into their native language, and they must have a strong knowledge of the language and culture of the source text. The best translators will have extensive knowledge and experience of working within the legal sector, and will ideally have experience of business takeovers and mergers.
Consistency across languages
Another important factor when translating legal text for international mergers and acquisitions is consistency.
Key terms and phrases are often repeated across many documents. It is therefore useful to create and continue to build what is known as a translation glossary to ensure that your translation stays consistent.
What is a translation glossary?
A translation glossary is a specialised list of terms and their definitions, often used in large-scale translation projects.
As mentioned, translation glossaries are useful in legal contexts such as M&As to ensure uniformity across all the relevant documents.
Translation security
When preparing for an international M&A, you'll need to consider the security of your translated documents.
Entrusting the private information of your business with a language provider is an enormous commitment and requires a lot of trust.
When choosing the language provider that’s right for you, you need to think about what systems they have in place to ensure the information about your takeover or merger remains confidential.
We'd recommend asking your potential language service provider what their information security measures are, what ISOs they have, and whether or not their translators sign NDAs.
Extra translation needs
As touched upon in the introduction, M&A translation does extend beyond the documents directly involved.
Alongside these, you will need to have a translation plan for handovers, company policies, brand guidelines, privacy policies and more.
At Wolfestone, we pride ourselves on our exceptional customer service, our highly qualified linguists, and our state-of-the-art technology.
Get in touch today to see how you can benefit from our corporate legal language support.
