Fig. 01 · Glossary
Transition Services Agreement (TSA)
Also known as TSA, Transition Services
Definition
A Transition Services Agreement defines temporary services after close, usually for carve-outs or complex integrations. Common services include IT systems, finance, HR, payroll, procurement, support, data access, and facilities. A TSA should define service scope, owner, service level, cost, term, extension rights, exit criteria, and escalation path.
A TSA is useful when it buys time for clean separation. It becomes value leakage when the buyer treats it as an operating model.
The most important clause is not the price. It is the exit gate. If each service does not have a measurable exit condition, the TSA can quietly extend integration risk, delay synergy capture, and create a recurring dependency on the seller.
Human Renaissance glossary · operator-grade definitions · Research methodology
