Let’s say, I join the category of people who love buying the products only, not the company.
That’s great, Umar
The phrase “Do you buy the company or the products?” (or close variants like “Are you buying the company or the products?”) is a common question in business acquisitions, mergers and acquisitions (M&A), startup exits, and entrepreneurship discussions — especially when evaluating whether to purchase an existing business versus building one from scratch or acquiring specific parts.
It boils down to motivation and value in a deal: What is the buyer truly after? The full entity (company) or just isolated elements (products, assets, technology, etc.)?
Key Contexts Where This Question Arises
Asset Purchase vs. Stock/Company Purchase
When acquiring a business, buyers often face this choice:
Buy the company (stock purchase): You acquire 100% ownership of the entire entity, including all assets, liabilities, contracts, employees, brand, customer base, IP, debts, lawsuits, etc. It’s like buying the whole house — good and bad.
Buy the products (or assets): You purchase only selected items (e.g., product lines, inventory, IP, customer lists, equipment) while leaving behind unwanted liabilities. This is cleaner for buyers avoiding risks.
Many advisors recommend buying assets/products over the full company to minimize inherited problems (e.g., hidden debts or legal issues). The question probes: “Are you after the whole operation, or just the valuable pieces?”
Acqui-Hire (Talent Acquisition) vs. True Business/Product Acquisition
In tech/startup world, especially with Big Tech (Google, Meta, Apple), many “acquisitions” are acqui-hires: The buyer purchases the company primarily to get the talented team/employees, not the products or business itself.
Products often get shut down or sunsetted post-deal.
The real value is the human capital (engineers, designers, etc.).
Classic examples:
Facebook/Meta has said they’ve acquired companies mainly for people.
Apple has done over 100 small acquisitions (many acqui-hires) for AI/talent.
So the question asks: “Is this deal about absorbing the team (buying the ‘company’ for talent), or genuinely integrating/scaling the products/business?”
Buy vs. Build Decisions
Companies deciding to enter a new market or add capabilities often weigh:
Buy the company/products: Acquire an existing solution (faster time-to-market, proven product-market fit, existing revenue/customers).
Build internally: Develop it yourself (more control, but slower/expensive/riskier).
The question highlights strategy: Do you want the ready-made products (quicker wins) or the broader company infrastructure?
Broader Entrepreneurial/Investment Angle
In buying an established business vs. starting one: Buyers often prefer established ones for existing cash flow, customers, and reputation (buying the “company” with traction).
In investing: Some ask if you’re buying stock in a company because you love/use the products (consumer affinity) or purely for financials.
Bottom Line
The question forces clarity on priorities and risks in a transaction:
Buying the company → Full integration, higher risk/reward, often includes team, brand, liabilities.
Buying the products (or assets/IP) → Targeted value, lower risk, but potentially less strategic depth.
In practice, most deals blend elements, but the core intent matters for valuation, structure, and post-deal success. If this relates to a specific scenario (e.g., a freelance/business acquisition you’re considering, or a startup deal), share more details for tailored advice!
Quite a good comment, Emenike. Sometimes having shares in a Company is as well, buying the position of a company.
I buy the products,but sometimes buy the company when it’s comes to
Thank you, Rafat.
I buy products, not company brands. Well known brands are often overpriced versions of the exact same products that can be purchased at a much lower cost! Some people are all about brand labels but I’m not one of them.
Good response.
Thank you Sa’adallah ☺️ have a great weekend!
When it comes to acquisitions, it’s usually the company that’s being bought, not the products 😊. The acquiring company typically takes over the target company’s assets, liabilities, and operations, including its products and services. But, I guess all depends on the deal, right?
Good
Thank you Charity.