Transition Services Agreement (TSA) Creation and Support for an Analytics Company

Client: Publicly Traded Analytics Company
This company is a global leader in providing information and analytics to accelerate the pace of innovation with scientific and academic research, patent intelligence and compliance standards, and pharmaceutical and biotech intelligence.

The Challenge:

The company did not have a process for standing up and supporting a Transition Services Agreement (TSA) subsequent to the sale of a business unit. They also had multiple concurrent initiatives, so the existing accounting group did not have the bandwidth to focus on the Transition Services Agreement (TSA).

The Solution:

The company turned to Eliassen Group for support with developing TSA communication and approval methodology between the company and the receiver.

The Result:

Beyond developing the TSA communication, we also accomplished the following:

  • Implemented an accounting structure to wall off the divested business segment after sale
  • Developed a process to gather, document, and present costs to the receiver for approval prior to invoicing
  • Determined allocation methodologies for costs by the company to the receiver according to terms of the TSA
  • Created invoices of fees to the receiver, in appropriate currency, and reviewed with the company's tax department for the assignment of tax and VAT rates