Imagine that a buyer wants to purchase a company, and the owner wants to sell, but they can’t agree on price. Is the deal doomed? Will the parties have to walk away? Not at all. A buyer can use an earnout to bridge the gap in perceived company value, making part of the purchase price contingent on the acquired company reaching certain financial or non-financial benchmarks during a period of time after closing. What seems like a successful compromise, however, can result in unhappy surprises if the buyer and …