SELL A BUSINESS
If you decided that now is the right time to sell, let us provide you with the best guidance you can get.
If you are ready to sell your business you are probably wondering, how can a business broker help me? What are the steps involved in selling a business?
The first step we like to take before determining how much the business is worth is simply to schedule a meeting with you to talk in person and make sure that we are a right fit for you. During our meeting you will get to know us and we will be able to get to know you and determine exactly how to target our business sale around your expectations. For example, do you wish to sell but remain involved in your business after the sale? How long are you willing to remain after the sale to ease the transition of a new owner? Is your business in leased space?
If after our meeting you wish to proceed, the second step is to sign a listing agreement with us. The listing agreement is an agreement between us and the owner of the business for sale granting us the authority to act as your agent in the sale of your property.
The third step is to put yourself into a potential buyer's shoes. What information would you like to know about your business if you wished to buy it? You will provide us with that information so that we may convey it to potential buyers at the appropriate time. Typically the list will include: profit and loss statements for the last 3 years, the most updated balance sheet, number of employees and their salaries, and your job description. With that information we will construct an anonymous buyer profile and will begin bringing potential buyers to you.
Our services and policies are founded on confidentiality and anonymity. We wish to avoid the "4 harms" that may hurt a seller if a business is found out to be for sale. The harm areas are competitors, customers, suppliers, and employees.
If we found the right buyer for you and you wish to proceed with the sale, we will produce a bridge contract with the buyer. The bridge contract is an agreement between seller and buyer stating that their offer will take precedence over any other and is the precursor of the final agreement jointly produced by the attorneys for both parties.
After the signing of the bridge contract, the sale goes into the hands of attorneys and bankers. Our job will become that of an expediter until we sit at the settlement table. We will ensure that all the players (accountants, lawyers etc.) are communicating with one another and that the sale proceeds in a timely manner.
All of our work is free until the day we sell your business. Our commissions are straight-forward: 10% of the first 50,000 of the transaction, 9% of the second 50,000, 8% of the third, 7% of the fourth, 6% of the fifth, 5% of the next and 4% of all the following 50,000 until 2 million.