what is a management buyout mbo 
the term management buyout mbo refers to a financial transaction where someone from corporate management or the team purchases the business from the owner s management members that execute mbos purchase everything associated with the business this type of buyout appeals to professional managers because of the greater potential rewards and control from being owners of the business rather than employees the mbo is a type of leveraged buyout lbo which is an acquisition funded primarily with borrowed capital investopedia theresa chiechi