Selling a business is very often a once in a lifetime event for a business owner and the detail of the sale process may well therefore be an unknown quantity. The fact that this goes hand in hand with being a significant event financially for the owner (and family) and it can lead to a certain level of disquiet and nervousness.
In a perfect world you will engage your business broker a couple of years before you intend to go to market and undertake an exit planning process first. However, the world is imperfect and whatever your needs in terms of timing, we will work in tandem with you to develop a plan that has the best chance of meeting your needs.
While there is a lot of detail behind each of these steps, the infographic below is intended to provide an overview of what a seller can expect. It breaks the process down into discrete stages, that start with preparing the business for sale, extend through the marketing and negotiation stages and end with what life might look like, after the ink is dry on the dotted line.
1. Pre-Sale Planning
Covers housekeeping activities including pre-planning for the later due diligence process, refining views on guide price, and raising appropriate issues around tax, employees, contracts, confidentiality, etc
3. Buyer Engagement
Understanding buyer interest and financial strength, managing buyer meetings and follow up, including additional information requests.
Converting buyer interest to indicative offers.
5. Legal Stages
Due diligence requests from Buyer, covering legal, financial and commercial areas of due diligence.
Sale & Purchase Agreement produced by solicitors, including agreement of appropriate warranties and indemnities.
2. Marketing The Business
Writing a detailed Information Memorandum, preparing confidentiality agreements, developing & executing agreed marketing strategy, from digital advertising through to individual targeted direct trade approaches.
4. Reaching a Deal
Negotiating from an indicative offer to agreed terms, summarised in a Heads of Terms document, signed by both Seller & Buyer.
Buyer granted exclusivity at this point.
6. Completion & Post Completion
Completion takes place (typically at a month end for a share sale)
Post completion activities, including agreed handover support, preparation of completion accounts and monitoring of any deferred payments due.
WHAT PEOPLE SAY
"Maree and John have sold several franchises for us. They are hard working and professional and I would reccomend them to anyone looking for a broker."
"I have worked with The Brokerage Connection and its master franchisees for a number of years. John McSweyn is a true gentleman of the business world. He is a formidable negotiator and certainly someone you want on your team when buying or selling a business
"Matt was very helpful throughout the purchase of my business. I was kept up to date with all aspects of the sale. I have had bad experiences with Business agents previously. I would recommend Matt Butcher and The Brokerage Connection highly for their professional approach and handling of the sale."