selling a business

So, you want to sell your business and want to maximize the value of your business while ensuring the transaction is a win/win for both you and the buyer. Seems easy enough, right? Well, unfortunately, it isn’t as there are a lot of variables that sellers often miss out on due to not truly understanding the processes involved in properly presenting their business to potential buyers. Even if you are a pro in the process, you are very familiar with how time consuming the whole transaction can be.

When selling your business, it’s crucial that you work
very hard to maintain its profitability so that your company
does not experience low-income months.

Your business needs your laser
focus and commitment, especially
when going down the path of a sale.
Being an owner/ operator of a business
is labor intensive enough; then, when
you add the selling process to that
equation, it can be quite overwhelming.
Not only do we take most of the burden
off of your shoulders by turning a
complex process into a much simpler
one, but we also correctly prepare
your business for the sale itself and
increase your chances of closing on
the highest possible sales price for it.

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Regardless of your reason for selling,
we are here to walk you through each
step and advise you on best practices
for positioning your business. As a seller
on this platform, you will gain access to
our customized and highly confidential
UA Client Portal as a means to access
all of the buyer inquiry details that you
will need, including non disclosure
agreements (NDAs), while we represent
you during the entire transaction from
start to finish. We take on the busy-work,
so that you won’t have to.

sell your business

An added benefit of working with our tightly knit group of industry professionals is that we will provide you with a top-quality, professional marketing package that will impress even the most investment-savvy buyers. Presentation is everything, and we will make sure your business will shine as we develop amazing, customized marketing materials suited for adequately representing your company.

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Business Preparation & Due Diligence

In order for our experts to determine what will benefit you the most, we need to first go over the basics. What is your motivation? Why do you want to sell your company now? Was this a part of the plan all along or did an event trigger this process? Once we find out what your motivation is, we can better serve you.

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Our Agreement

As the Seller agrees to do business with us at Unity Acquisitions, LLC, we will enter into what we call a broker’s commission agreement with the selling party. The Seller will agree to allow UA to represent them before and during the selling process with exclusive rights to sell the business for a 6 to 9-month term. Rates will vary based on the term, business type, and size; You will then be assigned a designated professional Business Broker.

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Financial Documents

Now is the time to collect your financial records such as your P&Ls, A/P and A/R aging reports, inventory data, and other relevant documentation. This information must be accurate and up-to-date. It’s also good to eliminate unnecessary expenditures that the business does not need and probably never needed. By taking an in-depth look at your financials, it may surprise you at what you might find. It’s better not to have any surprises that could hurt your potential sale.

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Documentation, documentation, documentation!

Aside from your financials, depending on your business type, it is likely we will need additional paperwork associated with your business operations. This can include your lease agreement, pending POs (purchase orders), etc. The old saying, less is more does not apply in this case. The more, the better.

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Business Structure

How is your business structured? Who are the legal owners, and what are their roles in this sales process? This information is essential and should be promptly addressed. If there are any ownership issues, it is important for the Seller to notify their assigned UA Business Broker immediately. Are the roles of your employees clearly defined? By having each employee’s contribution clearly mapped out in their job description, this can further strengthen your business standing. Unclear roles can only hurt the business as it will be seen as a waste of resources.

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Litigation and Liabilities

Keep the news of your potential sale confidential in the early stages. By putting this information out too quickly, it can make your business subject to others who may want to take advantage of you. Limit this information between key decision makers in your company and your Business Broker. One other key area is to ensure that your local, state and federal licensing are in good order. Review all of your documentation and check on the statuses of your licensing to make sure everything is current and paid up-to-date. The Seller must also apply this principle to taxation as well. All of your tax records need to be ready as if you could be audited at any moment. No experienced Buyer wants to purchase a company that does not keep organized tax documentation. It is a glaring risk and is often avoided. An important area that many Sellers, unfortunately, fail to address is pending litigation issues and business liabilities. For example, are you in the middle of a breach of contract, partnership dispute, shareholder issue, copyright or trademark infringement action, etc.? If you are, this is something that needs to be mentioned to your Business Broker from Day One. It does not mean any of these issues will automatically exclude you from selling; however, they could put the process on hold. Check with your assigned UA Business Broker for more information or feel free to contact us to schedule a consultation.

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Buyer Information

The Seller will be given 24/7 online access to our platform, and the following information will be accessible in association with UA’s process for pre-vetting Buyers:

Same Day Updates Buyer-Signed NDAs Buyer Intentions Investor Materials Request Documentation City/State of Buyers
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Estimating the Value of Your Business

Every Seller would love to get top dollar for the sale of their business. In many cases, that does happen, however, in some instances it might not. When calculating the value of a business, several factors are considered. Our goal at Unity Acquisitions, LLC is to ensure we operate with integrity and professionalism as we get you an on-target estimation for your company. Click here for more information on Valuing your Business.

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Final Points

If this business relationship is going to be beneficial, you must be as transparent with your Business Broker as possible. Unity Acquisitions prides itself on having a splendid team of knowledgeable professionals. We know this space and know what we’re doing. Trust the process.

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things to consider when selling your business:

  • Business Preparation 
    & Due Diligence

  • Our Agreement

  • Financial Documents

  • Documentation, documentation, documentation!

  • Business
    Structure

  • Litigation  & Liabilities

  • Buyer Information

  • Estimating the Value
    of Your Business

  • Final Points