In Case You Missed It: Launch Links - Week of April 19, 2020
Some interesting links we found across the web this week:
COVID-19: Planning Ahead at a (Social) Distance—Considerations for Emerging Companies
The COVID-19 global pandemic has already impacted people and businesses in profound and disruptive ways. This WilmerHale client alert outlines some key considerations for and emerging companies as they plan to operate in an increasingly uncertain economic environment. Some highlights include how the Coronavirus Aid, Relief, and Economic Security (CARES) Act might be able to extend your cash runway through its low-interest, Payroll Protection Loans (PPLs), and how to navigate the new remote working environment with special considerations for executives, technology services and human resources.
COVID-19: M&A Considerations During the COVID-19 Pandemic
The of COVID-19 has resulted in many new considerations for parties participating in proposed or mending M&A transactions. This WilmerHale client alert discusses aspects of M&A transactions that are most likely to be affected by the global pandemic, including takeover/activism defense, M&A agreements, , financing, representation and warranty insurance, and process/timing. As financial markets stabilize, opportunities will arise for buyers and sellers to return to deals that were paused due to the pandemic. Despite the uncertainties and risks of these transactions, the WilmerHale team has helped buyers and sellers find creative solutions to these new challenges.
North American Venture Report: Funding Up Slightly in Q1
In the first quarter of 2020, approximately $34.5 billion was invested in North American across all stages. This article from Crunchbase discusses that this number is up 2% year over year and also up 10% over the fourth quarter of 2019. Much of the increase is attributed to funding in late-stage venture companies, which was up 24% quarter over quarter and year over year. However, the impact on funding from COVID-19 is not yet shown in funding numbers. Since more than 50% of have reacted to the pandemic by freezing hiring, this signals that companies expect that the fundraising climate will be challenging for the next couple of years.
Imagining a Post-COVID-19 World
The COVID-19 public health crisis has left many wondering, “What will the new normal be?” This AlleyWatch article discusses the social, political, and economic ramifications of the pandemic. Socially, the article discusses how flexible work arrangements and gig-work may become more common after the pandemic subsides. Politically, the author describes the possibility of creating a pandemic response department similar to the Department of Homeland Security which was created in response to 9/11. Lastly, the disruption to businesses will cause companies to rethink business models of longstanding industries.
When Crisis Strikes, Lead With Humanity
At this precarious time, leaders find themselves in a challenging situation where they must provide direction, guidance, and reassurance while at the same time acknowledging that there is a lot of uncertainty ahead. This article by HBR discusses strategies for leaders, including putting people ahead of cost savings and profit motives, being up-front and vulnerable with your team, and supporting your team by being flexible and giving employees the latitude to deal with the new challenges that they face.
Links compiled by Gerard Fischetti.