Process for Selling a Business
C. G. Reicher Associates provides a methodical, step-wise approach to transferring business ownership. While every transfer process is unique, here is an overview:
Preparation
- Understanding
objectives and the company’s position in the marketplace.owner’s - Analyze company data to determine price and terms (valuation) which are consistent with the marketplace and the owner’s objectives.
Prepare Marketing Package
- Organize the documents needed for marketing including year-to-date financials, 3 to 5 previous years of financial and tax returns, asset and equipment list, a summary of company information.
- Research and analyze the industry.
- Define and identify potential buyers or buyer criteria and profile.
- Prepare Confidential Memorandum, Marketing “Blind” Profile.
- Execute Listing Agreement and parallel documents.
Marketing, Buyer Interviews
-
Contact potential buyers via web postings, letters, phone calls.
-
Secure
buyer’s profile, confidentiality agreementand financial statement. -
Pre-qualify buyers based on financial ability and fit.
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Educate buyer about deal requirements, company information.
-
Arrange meeting/s with
owner and potential buyer. -
Buyer begins speaking with lenders, securing financing.
Negotiations and Sale
-
Buyer presents the Letter of Intent to
seller . -
Letter of Intent is negotiated and signed by both parties.
-
Terms of Letter of Intent are transferred into a Purchase Agreement.
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Any remaining issues are negotiated, resolved.
-
All documents within
Definitive Agreement are finalized and reviewed. -
Buyer completes Due Diligence.
-
Buyer’s financing is completed.
-
Date, time,
location of Closing is determined. -
All parties meet for Closing and ownership transfer.
Contact Us
(320) 492-1005
chris@cgreicher.com