Selling a business
There can be many reasons for wanting to sell a business. You may be looking for a complete sale, alternatively you could be looking to dispose of a business unit from within your company. Whatever your plans or reasons, as a vendor you need to ensure that this is the right time to sell, that your business is ready to be sold, and that you can achieve the best possible price.
Making the right choices
Before moving too far down the sales line, it is important that you establish your reasons for looking to sell:
- Are you seeking to retire and realise some cash?
- Is your wealth locked in the business, and you are looking to withdraw it?
- Do you wish to dispose of a business unit from within your company?
- Is your business ready to be sold?
The final question in this list will give rise to numerous other questions. We have a wealth of experience with business disposals and can help both with assessing whether or not your business is ready for sale, as well as assisting with the transaction.
How can we help?
The first phase is to assess whether your business is ready to be sold. We can provide you with the following tools to enable you to make this decision. To do this we will:
- assess the timing of the deal, market conditions, and feasibility;
- carry out a financial performance assessment;
- help you identify the key business strengths;
- identify the changes necessary within the business to attract investors (if relevant).
The aim of this phase is to assess whether this is the right time to sell your business and whether the best price can be achieved. Sometimes it is necessary to postpone the transaction until the profit stream improves or the market position stabilises. This phase also involves the assessment of current and future prospects of the business sector and the appetite of business buyers.
When your business is ready for sale
If your business is ready for sale, we can advise you on the following areas of the transaction:
- the time-schedule and planning of the transaction;
- preparation of a business model;
- preparation of the Sale Memorandum to approach potential purchasers;
- the price of the business â valuation process;
- assistance and preparation of the business plan and financial forecastproviding a list of potential purchasers;
- approaching purchasers;
- assessment of offers received;
- negotiation of terms;
- additional services â tax advisory, arrangement of contact with law firms.
Why is it so important to get outside help?
Our aim is to find the best price that will maximise existing shareholders value, the form of consideration, the deal structure, and time-scale. We will work with you to identify the objectives and desired outcome of the transaction. Our assistance will enable you to continue to run your business without the unnecessary worry and burden of dealing with the transaction. Neglecting your business at this stage could seriously reduce its value.
The financial modelling and valuation process will assess the real value of the business and determine an achievable price.
Using our knowledge, research capabilities and network of contacts, we are able to identify prospective purchasers. We make sure that they will be able to meet your criteria and objectives. Potential purchasers will be approached with our assistance. When we obtain offers, we will assist you with selecting the best ones.
We will lead you through the negotiation of the deal terms and help you with resolving potential obstacles and any conflicts with the purchaser.
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