Private equity is not ideal for established firms because of the high cost to them, both monetarily and in terms of potential loss of control.

Question

Quizplus · Accepted Answer

Private equity firms typically require a high level of control and involvement in the companies they invest in, which can be a disadvantage for established firms that have already established their own management structure and ways of doing business. Additionally, private equity investments often come with strict terms and conditions that can be costly for the company in the long run.

Private Equity Is Not Ideal for Established Firms Because of the High