{"id":1557,"date":"2021-02-11T08:21:20","date_gmt":"2021-02-11T08:21:20","guid":{"rendered":"https:\/\/www.sunbeltcanada.com\/gaspe\/?page_id=1557"},"modified":"2023-08-30T17:57:08","modified_gmt":"2023-08-30T17:57:08","slug":"how-to-sell-a-business","status":"publish","type":"page","link":"https:\/\/www.sunbeltcanada.com\/gaspe\/how-to-sell-a-business\/","title":{"rendered":"How to Sell a Business"},"content":{"rendered":"
The decision to sell your business in Gaspe and North New Brunswick is not one to be taken lightly.<\/p>\n
Letting go of the enterprise that you\u2019ve built involves careful planning, and serious consideration of the financial, legal, tax, lifestyle and emotional matters you\u2019ll be facing.<\/p>\n
Understanding how to sell a business in a way that meets your needs is a great place to start. Start discussions with a Business Broker in Gaspe and North New Brunswick to get the right plan in place, get the best from the exit of your business and avoid costly mistakes.<\/p>\n
Below you will find information on some of the key considerations to sell a business in Gaspe and North New Brunswick.<\/p>\n
If you have any questions that we have not covered, please don\u2019t hesitate to contact us<\/a>.[\/vc_column_text][\/vc_column][\/vc_row][vc_row full_width=”stretch_row” css=”.vc_custom_1620127841637{background-color: #f9f9f9 !important;}”][vc_column][vc_column_text]\n Because there are so many considerations that will affect the value or your business, your after tax proceeds, and the attractiveness of your business in the marketplace, proper planning and preparation can make a huge difference in the outcome of the sales process.<\/p>\n We encourage all business owners to control the circumstances that affect the value of their businesses and to constantly build for maximum return on investment. Every step you take to prepare your business for sale will ultimately create a more enjoyable and more productive business environment for you to work in. It will also ensure that you\u2019re ready when the right opportunity comes along.<\/p>\n Before we get into some of the key steps, Be Aware that Timing is Critical. Prepare your exit strategy well in advance of selling. Sell before you are burned out; far too many entrepreneurs hang on too long after their energy and enthusiasm for the business have deteriorated and have started to diminish the performance and value of the business.<\/p>\n Let’s look at some of the keys on how to sell a business below. If you want to read more, download Insider Tips on Selling a Business in Canada<\/a>.[\/vc_column_text][\/vc_column][\/vc_row][vc_row full_width=”stretch_row” css=”.vc_custom_1620128443078{padding-top: 16px !important;padding-bottom: 24px !important;background-color: #ffffff !important;}”][vc_column][vc_tta_accordion style=”outline” c_icon=”chevron” active_section=”1″ collapsible_all=”true”][vc_tta_section title=”Determine Your Goals in Selling a Business” tab_id=”determine-your-goals-in-selling-a-business”][vc_column_text] Working with a Sunbelt Canada Business Broker will allow you to carry on keeping your business healthy while we confidentially guide the sale of your business. Our system to confidentially find buyers and confidentially guide the deal to a successful conclusion are invaluable.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Prepare Your Business for Sale” tab_id=”prepare-your-business-for-sale”][vc_column_text]There are long lists of things to be done as you prepare to sell. We will help you identify and prepare with the sale and a positive transition in mind. Here are a few things to consider:<\/p>\n We will prepare an excellent package that clearly explains your business so the right buyer can make a well informed offer. Next let’s look at how to keep your business at peak performance and then how we find and get ready for the right buyer.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Keep your Business at Peak Performance” tab_id=”keep-your-business-at-peak-performance”][vc_column_text]Keep your business in peak condition so it shows well when the right buyer is ready. Buyers are most attracted by a business with steady or growing performance, stay focused on strong business operations and let your business broker limit the distractions.<\/p>\n The last thing you want to be doing is wasting time with unqualified buyers. Sunbelt Business Brokers have a large pool of pre-screened buyers and a system to confidentially find and screen buyers before they are introduced to you. Stay focused on operating your business and let your broker manage finding the right buyer for your business.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Offers and Getting the Terms Right” tab_id=”offers-and-getting-the-terms-right”][vc_column_text]Once you have met the buyer and they feel this is the right business for them, they will make an offer. The offer will:<\/p>\n The offer may establish a time frame for due diligence and it may request exclusivity in negotiation for a period of time.<\/p>\n Having a business broker manage the negotiations will create a win-win deal and you are able to tap their experience and share your wishes on the terms of the deal.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Due Diligence – Verifying the Details” tab_id=”due-diligence-verifying-the-details”][vc_column_text]You now have an accepted offer, both parties now need to do reasonable investigation to make sure everything is as it was portrayed.<\/p>\n The Buyer will want to verify many items including: operational procedures, payroll, job descriptions and details about team members, training programs and procedures, safety policies and procedures, workflow and processes, systems and manuals and your policies and programs for both HR and operations. The buyer or their advisors will review financials, assess equipment, confirm titles etc…<\/p>\n As the seller you will want to validate that the buyer will do a good job running your business and that they\u2019ll look after staff and clients. You want to be sure they will repay the financing you are providing, so you need to check out the buyer just as they are checking out your business.<\/p>\n Your business broker will work with you to prepare for due diligence. Be ready to substantiate the information provided to each other, this increases trust and helps avoid issues in the transaction.[\/vc_column_text][\/vc_tta_section][vc_tta_section title=”Closing the Deal” tab_id=”closing-the-deal”][vc_column_text]Diligence is complete and you are ready to close the deal.\u00a0You now need a transaction lawyer to draft the closing documents:<\/p>\n If it is a share sale, you may also require an agreement to hold the shares in escrow until fully paid for by the purchaser. If an asset sale, register security against the assets of the business.<\/p>\n As closing approaches, work closely with your business broker to guide you through items like an inventory count, how to handle work in progress billing, recent expenses. Your brokers experience is important here in quickly resolving any potential sources of conflict that could damage the deal. Do expect some post closing adjustments as you will not have all of your bills available at the time of closing.<\/p>\n You do not, however, want to alert staff to the sale until all conditions have been met. After closing you will probably want to hold a staff meeting to introduce the new owner and give them an opportunity to reassure the employees and to set the values and culture under which the business will operate.<\/p>\n Once the deal is closed it is time to work together with the buyer for a positive transition.[\/vc_column_text][\/vc_tta_section][\/vc_tta_accordion][\/vc_column][\/vc_row][vc_row full_width=”stretch_row” gap=”35″ content_placement=”middle” css=”.vc_custom_1620128326207{margin-bottom: -40px !important;background-color: #f9f9f9 !important;}”][vc_column width=”1\/2″][vc_column_text]\nPlanning and Preparation are Critical!<\/h3>\n
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Do you have other questions?<\/h3>\n