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Glossary

TSA

Transitional Service Agreement · Übergangsleistungsvertrag

In short

An agreement under which the seller keeps providing IT and other services to the divested business for a limited time after closing.

A TSA buys time but costs money every month and ties the business to the old group. Every service in the TSA therefore needs its own exit plan with a date and acceptance.

Common pitfalls are non-transferable licences, vague service descriptions and missing data access.

Related terms

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