Not all bank acquisitions are made equal. The ease of acquisition is in many regards inversely related to the institution's size for various reasons:
First, small institutions are emotionaI about the acquisition process. Therefore, the purchase process and negotiations are often difficult when subjective and emotional factors enter into the decision-making. Many small banks are family-owned or management-owned, and their decision to sell has been a painful one, whether motivated by aging management, the need to liquefy the stock, or the recognition that the bank, a stand-alone entity, will not survive or maximize shareholder value.