The decision to sell a business can be one of the most important decisions you will ever make.
That’s why your decision to sell warrants nothing but the best in planning, attention to detail and professional consultation. You should leave nothing to chance!
I, John Denton, am a Business Sale Consultant / Coach and Business Broker in Perth, Western Australia.
Check out my half day workshops on preparing business ready for sale CLICK HERE
By law, the only way a business can be sold is either through a licensed business broking agent / real estate agent OR privately by the business owner themselves. Many businesses are too small or too difficult to sell to be taken on by a good business broker. In these cases the business owner has had no option but to sell privately – until now! Now you can engage John Denton to take you through the business sale process. John is a registered business broker and also a business sale adviser with Business Sales & Advisory.
To sell a business privately can be a daunting proposition because most business owners do not know how to put a value on their business and don’t understand the sale process or the amount of work involved. After all it is not something they do every day! It can also become a big distraction from running the day to day operations of the business.
John will coach the business owner through the sale process and this service includes but is not limited to;
- Analysing the financials of the business to determine the adjusted maintainable net profit and prepare the financials for inclusion in a report
- Analyse the non- financial elements of the business and assist the owner to put a realistic asking price on the business
- Produce a ‘business ready for sale’ assessment in the form of a “heat map” showing areas of the business that are ready and areas for improvement
- Produce a detailed report on the business to give to prospective buyers and their accountants / advisers OR coach the owner on producing their own report
- Assist with the writing and placement of advertisements
- Coach the owner on how to qualify inquiries and receive offers
- Negotiate the offers and draw up a contract of sale
- Refer to a lawyer / settlement agent for settlement
John will work closely with the business owner, their accountant or their coach to assist in the areas to suit the client. It is a tailored approach not a ‘one size fits all’ approach.
John always strives to be as honest and clear about the process as possible so that any business owner embarking upon the sale of their business goes in to it with their “eyes wide open”.
Whether you are buying or selling a business – contact John now by completing a contact request. CLICK HERE
When it comes to selling a business privately, there are a number of stages that need to be gone through and a process to be followed to get the best outcomes for both the seller and buyer. It’s critical to complete the process properly to prevent any unnecessary issues post sale.
The stages in the process are;
- Assess the business to determine the asking price and the saleability of the business
- Produce a business profile document which presents the business in the best possible light whilst being an honest and accurate description of all the financial and non-financial aspects of the business. In a typical small business being sold as a going concern there are around 20 non-financial aspects to be reported on and several financial aspects.
- Advertise and market the business to attract potential buyers
- Handle the inquiries to qualify the potential buyers and maintain confidentiality of the business
- Meet with buyers and go through the business profile with them and answer any questions
- Receive written offers and evaluate them. Often they are very different and the highest offer is not necessarily the best one
- Negotiate the offers and agree terms and conditions, and any ‘special conditions’
- Engage a lawyer / settlement agent and both parties sign a contract of sale / agreement to purchase and buyer agrees to pay a deposit
- Settlement period during which the buyer conducts due diligence and all ‘special conditions’ are met
- Settlement and final payment
- Seller conducts the handover of the business as agreed in the contract
Provided every stage of the process is completed correctly, then the sale should achieve the best outcome for both parties.
John Denton provides a service to coach the business owner through the sale process setting up a tailored, cost effective solution for the owner.
Contact John Denton to discuss any of this in more detail or to clarify any points.
***Check out my half day seminars on preparing to sell a business CLICK HERE***
Whether you are buying or selling a business – contact John now by completing a contact request. CLICK HERE
