Information & Resources
The vast majority of all business buyers are first time
buyers, unprepared to meet the complexities of a business
acquisition. However, whether you are considering your first
acquisition or are a seasoned investor, you can look to the
professional business broker for assistance in every phase of
The following, therefore, summarizes the key elements of
the business acquisition process as professionally conducted
by a professional business broker.
here for more information on how to Buying a
Initial Meeting - Objectives,
Needs and Requirements Review:
In preparation for this initial meeting with us, the business
buyer should complete our Buyer Response Form. By completing the
form, you will send an email to us with the information provided
or you can print the confirmation page and fax it to us. This,
along with subsequent discussion relating to your personal goals
and objectives, will provide an adequate starting point to begin
a detailed search of our large listing inventory in order to
develop a selection of "target" businesses for your review.
Review of Acquisition Alternatives:
This is where the professional edge can really make a difference
in a successful acquisition. The professional business broker
will make every effort to provide you with pertinent information
on a target company's financial performance, staffing,
facilities, equipment, lease, inventory, customers and market
areas served. In most cases they will have tax returns, customer
lists, etc. for confirmation. Where the broker cannot provide
verification of information, they will advise you accordingly.
When the various business names are disclosed, you will be
required to sign a standard "Confidentiality/Disclosure"
form which, is required by the business owner.
On Location Visit:
Arrangements will be made to visit the target business(es),
at a time that will not disrupt operations, and in order to
maintain confidentiality. At this meeting with the business
owner, the potential buyer can not only see the business in
operation but also ask detailed questions regarding the
operation of the business.
Purchase and Sale Agreement:
The professional business broker can provide a standard Purchase
and Sale Agreement that covers the necessary elements of a
business sale. The basic agreement provides important
contingencies to protect both Buyer and Seller as follows:
Books and Records Review:
The Agreement specifically calls for a complete review (due
diligence) of all company records by Buyer and/or Buyer's agent,
CPA or accountant. The Buyer must approve, in writing, the
records of the company before proceeding toward a closing.
The Agreement specifies that the leasehold rights will be
assigned, or a new lease developed, in the exact manner as
requested by the buyer.
Equipment and Fixtures:
The Agreement specifies that all
equipment and fixtures will be in working order and free of
liens at the time of closing.
The Agreement specifies that all inventory included in
the sale is saleable and consists of the necessary quantity and
quality to conduct the business in the usual manner.
Training and Counsel:
The Agreement provides for training and consultation, many times
at no charge, by the seller for the buyer's benefit.
Structuring the Sale:
Of all the elements composing a business sale, deal structuring
is the most difficult and least understood by the layman. The
options are limitless, ranging from simple stock or asset sales,
to partnerships, joint ventures, etc.
broker will discuss deal structures with you and recommend the
most favorable arrangements for both parties.
Preparation of Closing Documents:
The broker's personnel employ the same sophistication on a
$100,000 sale that it applies to a $10 million sale. They
prepare clear, concise documents to protect both parties and
consult with accountants and attorneys to provide an agreement
of sale based on practical application of legal and tax issues.
Final Closing and Follow-Up:
Following execution of the Purchase of Sale Agreement, the
broker will arrange for a closing agent, oversee the closing
preparations, and follow-up on post-closing procedures. All
closing documents are provided to Buyer and Seller prior to
closing with adequate time for review by their prospective
attorneys. Business Sale closing costs are quite reasonable and
usually split between Buyer and Seller, and the seller is
responsible for the Brokers Fee.
invite you to mail, fax or E-Mail our Buyer Response Form (along
with any listings selected) to get your search process started.
This information will go to the listing broker. If you
would like to comment or request other information please use
our Contact Information on the About Us