Selling a Business

STEPS/PROCESS

  1. Planning: Learn what it takes to sell a business and consider whether to take the next step
  2. Business Valuation: Conduct a Business Valuation and a Tax Impact Assessment
  3. Commitment: Review Decision to Sell & Consider Sale Strategy (Why, How much, to Whom, When & How?)
  4. Team: Business Broker, Legal & Tax Advisors
  5. Sale Strategy: Assess what have you got to offer – Why would any one buy your business? – Financial, Market & Operations Analysis
  6. Buyer Analysis: Identify Logical Buyers, Reasons & Ranking
  7. Pricing & Terms: Range – Collect information, Recasting, Reorganization & Valuation; Structure Sale Price and Terms – consider after tax net proceeds
  8. Housekeeping: Get the Housekeeping in order
  9. Value Enhancement: Implement Changes needed to Enhance the Market Value
  10. Marketing Tactics – Wide/Narrow Distribution Scope; Channels
  11. Information Memorandum – Emphasis on Future (market & employees)
  12. Marketing Implementation – Search & Contact Buyers– Strategic/Synergistic Buyers
  13. Buyers Qualification: Confidentiality, Motivation, Capability & Compatibility
  14. Site Visits: & Bilateral Questions
  15. Buyer Questions & Analysis:
  16. Letter of Intent: Deal Structuring & Negotiations
  17. Agreement of Purchase & Sale:
  18. Due Diligence – Control, Monitor & Respond
  19. Closing & Documentation:
  20. Transition: