Selling

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The steps involved in the selling of any business are as follows:

Price

Allow us to value your business by providing you with an accurate price range researched from current market statistics. Many people fall into the "trap" of either under pricing; where you risk selling your business for far less than it's worth, or overpricing; where potential buyers are deterred by an unrealistically high price.

Tax

Consult an accountant, who can clarify how much tax you will need to pay from the sale and help you to decrease it if possible. This is important, as we want you to keep as much as your lifelong investment in your pocket as possible.

Preparation

This is the most important part of the sale and should be properly handled. ECBB will package your business for sale through the preparation of a highly professional and detailed information memorandum, outlining and emphasising key aspects and attractive figures - appealing to your target audience - the perspective buyers.

Market

Word of mouth is often the most effective form of advertising, however, finding a buyer for your business is not always easy. East Coast Business Brokers will reach out to a larger target audience through advertising and by directly targeting potential purchasers through market research. ECBB also values your privacy and confidentiality and if required will endeavour to prevent the release of such information to keep from startling potential buyers, employees and suppliers.

Negotiations

Upon attracting an interested buyer, the next step is to conjure up a deal. East Coast Business Brokers will simplify this part of the process by acting as a mediator for both parties. We will provide a bi-partisan, professional approach to negotiating price, terms and conditions, including contract negotiations. We understand that negotiations can be the most stressful part of the transaction and we will do our best to streamline the process, providing the best outcomes for all associated parties.

Agreement

After negotiating a deal with the buyer, the next step is to put that deal in writing. Everything the buyer is receiving should be listed here, including a thorough list of assets including capital, infrastructure and stock. Terms of employment and other obligations will also be listed here. Both parties should seek legal advice in relation to the sales agreement before signing on the dotted line.

Closing

Make a list of everything the buyer needs to know upon closing. Items on the list may include: Safe combinations, passwords, security alarm codes, keys etc. This is usually general information in order to make the close a hassle free meeting. East Coast Business Brokers will help you with this list by accurately detailing information that the buyer will need to know.

Due Diligence

This final step is the most important. Upon closing, both parties must make sure that all legal diligence has been met in relation to the purchase and the sale of the business in question. ECBB will manage the entire due diligence process from start to finish to ensure all loop holes and relative potential shortfalls are covered.

 

Did you know...

• That most vendors fall into the trap of either overpricing or underpricing

• That you will need to pay tax on the sale of your business

• That it is a good idea to assure due diligence for the sale of any business