How to Sell a Business 4: Find the Right Buyer

How to Sell a Business 4: Find the Right Buyer

You want to sell your business right?
You need to find the right buyer. Well you’re a hundred cent serious about
selling you’ve settled on a fair asking price and you’ve prepared everything you
need for prospective buyers to get a positive feel for your business. But when
you’re selling up you want everything to be business as usual
so if employees or customers are uncertain about the future of your
business that’s for sale they could begin to look elsewhere. So it’s usually
best to wait until the deal is almost done for make any broad announcements to
the market. To help keep things confidential specific information about
your business should only be revealed to qualified buyers after they have signed
confidentiality and non-disclosure agreements. Who is a qualified buyer?
Well a qualified buyer is someone who can demonstrate a genuine desire to
purchase your business and has the financial capability to complete that
purchase. They may have qualifications and resources necessary to run your
business and they will show willingness and ability to complete the sale in good
time. Once the potential buyer has signed a confidentiality/non-disclosure
agreement they may see the following information about your business. They’ll
get the information memorandum and within that memorandum or that profile
there will be a history of your business, an overview including the information
about your company’s products and services, there’ll be operational information and personnel structure, there’ll be
information in there regarding your market including your customer mix, your
competitors, industry trends, what’s hot what’s not etc. There’ll be a list of
fixed assets that are included in the sale. There’ll be information regarding
your premises obviously a copy of the lease and that’ll have the renewal terms
rental renewals those sorts of things. There’ll be a statement of financial
performance and position and details of any liabilities to be assumed: leased
plant those sorts of things. Obviously there’ll be details on price,
terms, and the sale structure on which you are offering your business for sale. How else do you find the right buyer? Let me know in the comments below let me
know your thoughts in the comments below be great to hear from you. If you want to
know more about buying or selling a business you might consider subscribing
until then see you next time

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About the Author: Oren Garnes

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