What is an acqui-hire?
An acqui-hire is an acquisition primarily motivated by the acquirer’s interest in the target’s team — its founders and engineers — rather than its product, customers or revenue. Acqui-hire deals typically value the team at a per-engineer multiple, with founders given retention packages and the product often shut down post-close.
Acqui-hire structures involve compensation allocation, equity rollovers, retention bonuses, non-compete agreements and IP assignment. Tax treatment in Türkiye and the U.S. requires careful structuring to avoid characterising what is effectively a hiring bonus as deferred consideration.