SELLING
Your business is designed to turn profit and exhibit growth. Tangentially, strong emotions and personal relationships undoubtedly blossom from a well run business. Understanding how to navigate those elements, and ultimately reaching the determination to sell should be met with a degree of sensitivity from your trusted advisors and confidence that the business will succeed to a new owner that has your values in mind.
Many business owners will delay the decision to sell because they feel the process is daunting. And because timing can be just as important as price or industry, this poses a dilemma that business brokers are keen to avoid. Therefore, an intermediary is strongly advised from the outset so that the process can be explained and we can help owners understand where the opportunities and pressure points can arise.
NMBB WILL GUIDE YOU THROUGH THE DETAILS. THESE ARE THE BROAD STEPS:
one
Maintain the physical appearance of your business and it’s marketing collateral, including all web presence
two
Obtain prior three years of income tax returns or financial statements to provide for valuation work
three
The owner and broker discuss the valuation presentation and determine a sales price
four
Consider financing. Buyers almost always need some sort of financing. Seller financing is often an attractive component of the transaction, though by no means is it the only option
five
Once a price is determined, the broker prepares a Confidential Business Report (CBR) for purposes of marketing the business. The owner, taking into account the important sensitivity of confidentiality, will be review in depth
six
Go to the market. The business is advertised to the public by methods deemed appropriate for the particular industry, market, and degree of anonymity
seven
Potential buyers are screened for their financial capability. Once they are marked as viable and sign a confidentiality agreement, they can receive the CBR
eight
The broker will set meetings between the seller and potential buyers
nine
Offer to purchase is presented and negotiations begin
ten
Offer is accepted. Final investigations are conducted, relationships are cemented, and the broker manages the details and prepares all parties to close on the sale and transition to the new owners