How do reverse mergers compare to SPACs?

Reverse mergers and SPACs (Special Purpose Acquisition Companies) are related concepts, but SPACs are usually larger, institutional-driven vehicles designed to take mid- to large-cap companies public. Reverse mergers, by contrast, are often used by growth-stage companies seeking a cost-effective route to the public markets.

The misconception is that SPACs are inherently “better.” In reality, SPACs can be more expensive, dilutive, and complex, often involving large hedge funds or private equity sponsors. Reverse mergers offer many of the same benefits on a smaller, more entrepreneur-friendly scale.

Meraki Partners has experience in both areas. We help entrepreneurs understand when a reverse merger makes sense, when a SPAC might be appropriate, and how each compares with IPOs and direct listings. This objective perspective sets us apart.

The outcome is clarity and choice. With Meraki Partners, you don’t get pushed into one structure, you get guidance that ensures the structure fits your business, not the other way around.