Association Members have been serving Business Owners,
prospective Business Owners, and
Bankers, Accounting and Legal Professionals
for many decades. Our members are seeking
More knowledge and ways to complement each other – all with the purpose of providing
The best possible services.
Many have been affiliated with other organizations, and
Often frustrated by the lack of a mechanism to work together.
The Association brings them together.
Why Use our
Professionals to Assist with the Sale of Your Business?
We are asked
this question often when beginning the process of talking to Business
Owners. There are a few things to
consider…
- Most Business Owners sell a
business ONE TIME in their working lives.
It’s a very important step involving many aspects – legal, accounting,
financing, on-going risks, and the future – to name a few.
- Our Professionals have been part
of literally hundreds (thousands?) of transactions. We’ve all
seen a lot – maybe not everything, but we have decades EXPERIENCE.
- Deal Structure is critical and
has to be addressed, analyzed, and managed.
We’ve done many Asset Sale transactions, and also a number of Stock
Sales. Yes Stock Sales of small businesses
– something many professionials have not done to the extent we have. Getting a deal properly structured means more
dollars for the Seller and less risk.
- Selling a business
takes lots of time; we allow the Owner to continue running his business rather
than spending all of his time negotiating and reviewing documents and offers.
- During negotiations
things can become very heated and emotions get involved. We act as the buffer between the seller and
buyer. The last you want is bad feelings
between the seller and buyer, as this typically kills a deal.
- Locating and presenting capable
Buyers is essential to getting deals done.
We have a number of avenues to attract Buyers and determine who is
sincere and who is not capable. We deal
with local individuals, Strategic Buyers (those that want to grow through
acquisition) and Private Equity Groups (also wanting to add to their portfolio
companies). A sale does not happen
without a Buyer.
- Sellers often have one buyer that
they believe will buy their business. Exposing
the Business to multiple Buyers brings the perspective of all – what the real
value of the Business is. Isn’t that
something that will insure a fair price and terms? Isn’t that what a Business Owner should have?
- We bring multiple
buyers and more importantly, term sheets/offers/bids. In a recent completed transaction our
Professional brought six offers with two lower offers, one in the middle, and
two higher offers. The final outcome was
over $1.2 million dollars higher than the first offers. Typically our fees are more then covered due
to the additional dollar value we bring to the Seller.
- Buyers sometimes need assistance
– with financing, introductions to legal, accounting, insurance, and other
professionals. We have Advised Buyers,
know what they need, and willingly introduce those contacts. We tell Buyers “We can assist – you cannot
pay us because we are advising the Seller”.
If we know what they are attempting we can guide the transaction to an
amicable conclusion.
- Fees – yes we charge for our
services. We are not going to guarantee
that our advice will “more than cover” our fee…but our knowledge, experience,
and deal structuring savvy help to get deals done – and isn’t that the
objective? And our fee is a deductible
expense so the “net after tax” cost is probably in the range of two-thirds or
our fee when all is said and done.
So a question to Business Owners
– “Do you really want to go it alone?”
References – if a Business Owner wants to
speak to Business Owners or anyone about our Professionals and what they have
done and can do, please let us know.