As professional business brokers in Roswell, Georgia, Century Mergers & Acquisitions knows that finding a prospective buyer for your business is not something to take for granted. The hustle toward a successful sale doesn’t stop until the sale actually happens. So while owners have every right to celebrate, they still need to be on their toes.
Many things can break a business deal, and we cannot fault a strategic buyer for being on the lookout for them. Almost all of them involve disappointed expectations. Fortunately, we can help you prepare for them with our effective, expert advice.
Here are some deal-breakers that can get in the way of successful business selling.
- Unclear deal terms
Any agreement that doesn’t have clear terms for both parties ends before it even starts. To avoid them, write a Letter of Intent, which is a non-binding agreement between buyer and seller that sets details of the transaction and the steps toward them. It should have assumptions about deal terms, projected purchase price, and the timeline and conditions for closing. Be sure to offer some leeway for unexpected turns.
- Spotty record-keeping
Those going into business purchasing make sure to check if the details about the business are reflected in comprehensive records, especially if they involve finances. You should be ready to provide prospective with clean and verifiable financials for the past three years at least. There should also be records of compliance with applicable laws and enforceable supplier and customer contracts.
- Unaddressed liabilities
Keeping buyers in the dark about potential risks can make them lose confidence in the sale. Outlining them and offering actionable plans can secure their trust and even encourage them to offer resources that turn the risks into opportunities.
There’s no need for you to prepare for these deal-breakers without help. Get in touch with us and access the expertise you need. For more on business real estate in Georgia, Call us today.
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