Buying a business is one of the biggest life decisions you will ever have to make and is not something that can be done overnight. The fact you are reading the information on this page means you have taken the first important step – working with an experienced Business Broker.
Buying a business is relatively easy – but buying the right business takes time and effort. It needs close co-operation between you and your Business Broker to identify the best type of business for you and guide you all the way through the process of becoming a business owner.
Discovery
The first step of the process is to build a client profile. It’s great to meet face to face but many of our clients are out of state or overseas. For those clients Video conferencing and on-line search and selection processes play a greater role but our dedication to consistent communication ensures we create a detailed understanding of your skills, experiences and personal objectives in addition to your financial capabilities. Completion of the Discovery Phase provides us with the information needed to start the Search and Evaluation.
Search and Selection
Using online databases to search through thousands of business listings we will work with you to understand current market conditions and help you to evaluate the information on the businesses you are interested in. When a potential businesses opportunity is identified we will assist you in completing the required Non Disclosure Agreements (NDA’s) and reviewing the confidential business information. This process will continue as we refine your requirements to a point where a suitable business has been identified and you are ready to make an offer.
Offer and Due Diligence
Once you have identified a business that you are seriously interested in purchasing we will guide you through the process of preparing and submitting a Purchase and Sale Agreement. We will present your offer along with a good faith deposit and assist in the negotiation process until we achieve a fully executed purchase agreement for you to buy the business. Once we have the executed agreement we will co-ordinate a team of professionals (legal, accounting) to complete the due diligence activities on your behalf validating the information and representations that the seller-provided during the contract negotiation stages.
Closing
Closing documents will be prepared by an attorney – usually the same attorney that will hold the Escrow deposit. The closing documents will contain the details of financial terms of the agreement and specific provisions for inventory counts, lease assignments, merchant services, franchise agreements, etc. When all documents are signed and agreed you will complete the transactions by making the final payment – the business is now yours !!
These four stages can represent months of effort so please remember to be patient. We are with you every step of the way to answer questions and explain any part of the process before during or after you purchase the business.
