Preparing Your Small Business for Sale

Key Steps and Considerations

#1 Determine the Fair Market Value: Establishing the right asking price is paramount. I will guide you in accurately evaluating your business to ensure you receive the best possible value.

#2 Assemble a Professional Team: Surround yourself with a strong team consisting of professionals like a business broker, CPA, and lawyer. Their expertise and guidance will be invaluable throughout the entire process.

#3 Consider the Deal Structure: Carefully assess the various deal structures available to you to maximize your financial gains and minimize potential risks.

#4 Get Your Financials in Order: Organize your financial records and ensure they are accurate, transparent, and up-to-date. Having a well-prepared financial profile is crucial.

#5 Due Diligence Documents: Compile all necessary due diligence documents, such as legal agreements, permits, licenses, and customer contracts. Being well-prepared in this area will streamline the process.

#6 Don't Mix Personal Funds: Maintain a clear distinction between personal and business funds. This practice not only ensures financial clarity but also facilitates the appraisal process during the sale.

#7 Use Confidential Marketing: Leveraging my expertise, I will create strategic marketing materials to attract qualified buyers while maintaining the utmost confidentiality. Your business's sensitive information will be safeguarded until you are ready to make the announcement.

#8 Get the Offer in Writing: Secure written offers to establish clear terms and protect both parties' interests. I will guide you through this critical step, ensuring that your interests are safeguarded in the negotiation process.

#9 Keep Quiet Until Finalized: Confidentiality is key. I will advise you on maintaining discretion throughout the sale process, ensuring that employees, customers, and competitors are unaware until the sale is finalized.

#10 Let an Attorney Handle the Closing: To ensure a smooth and legally sound transaction, it is crucial to engage an attorney specializing in business sales to handle the closing process. Their expertise will protect your interests and minimize any potential complications.

Chase Busenbark is a native of Southeast Missouri and comes from a family of business owners and employers in the region. Chase earned a bachelor’s degree in business and has been actively involved in his family business from a young age. His participation in the planning and implementation of business infrastructure, contracting, accounting, sales management, and business development activities provided him with a diverse set of skills. He has done everything a business owner would do for a 100-person company and can apply this experience to business brokerage.