At VR we are very aware of what is takes to sell a business.  Preparing the Seller and assisting in arranging the business to achieve the maximum return on investment are two important roles of the professional Intermediary.

Owners sell for various reasons, stemming from retirement, partnership fallouts, personal and family concerns, the desire for change, illness or to enter another business venture.  Knowing the reason for the divesture aids your VR professional in structuring the most advantageous transaction.

VR turns to its professional alliances to help you seek the appropriate tax strategy, succession plan or investment strategy to again help you maximize the benefit of the sale.

Our company works with serious Sellers to put together winning deals.  Beginning with the client’s decision to sell, VR will help navigate through the selling process with ease.  Our clients don’t have to struggle to find the answers to key questions like “How much is my business worth?” or “Is this a good time to sell?”  We assist Sellers in making the decisions that best fit their particular circumstances.

Some key items that are needed to ensure a successful transaction include the following:

• Having provable books and records increases the number of potential Buyers.  Buyers want proof of the sales and profits that the business has made in the past. 

• Having a reasonable expectation of price and terms.  Educated Buyers only consider competitively priced businesses.

• A list of assets including furniture, fixtures and equipment.  Buyers will want a complete list of equipment and will inspect it to ensure that everything is in good working order.

• An attractive lease.  Any Buyer will want a good lease, whether the existing lease is assigned or a new lease is written.

• Best possible appearance.  Having the business premises neat, clean and in good repair.

• A professional valuation of the business.  A valuation on the business creates a document that proves value to the Buyer and shows the business to be competitively priced.

• A covenant not to compete.  Preparing the terms on non competition within an appropriate distance and for a reasonable period of time.

• A specified reason for sale.  Buyers will want to understand the reason for sale and be comfortable that there is not undisclosed information that could negatively affect their investment in the future. 

• Time is of the essence.  Be prepared to move forward when a qualified Buyer shows interest in the business.

• No surprises!  Give your VR Intermediary all the facts up front.  Most negatives can be overcome if disclosed from the beginning.  Issues like landlord or lease problems, outstanding loans against the business, tax payments in arrears, troublesome equipment leases and non-compliance with zoning, health or other regulations can most likely be spearheaded if known from the start!

The savings and peace of mind far outweigh the cost.  Most Sellers have found that the cost of using our services is more than offset by the value they have gained from our sales expertise and wide access to motivated buyers.

The selling process consists of the following steps:

Commitment

Your commitment to us is to sell your business at a price and with terms consistent with the marketplace.

Documentation

You provide us with all the necessary documents and data required to sell your business.

Valuation & Pricing

We analyze your business and suggest a realistic price and terms. For larger businesses, we recommend a third party valuation.

Advertising

We aggressively but confidentially advertise your business and others like it to get the highest possible response and the greatest number of prospects.

Screening

We interview buyers to professionally and financially qualify prospects and to eliminate those who are unable or not ready to purchase a business at this time.

Introduction

Our intermediaries present your business to potential purchasers.  They discuss the various components and benefits with the potential Buyer.

Meeting

A possible meeting with you, the potential purchaser and the VR Intermediary is set up to cement the Buyer’s interest and give you an opportunity to learn more about the Buyer.  You will never meet a Buyer without the accompaniment of a VR Intermediary.

Assistance with Financing Options

We have many financial resources, including lenders who specialize in SBA loans or commercial business loans. We will assist you and the Buyer in determining which method of financing will work for all parties and lead to a successful closing.

Offer to Purchase

We encourage Buyers to write a fair offer accompanied with earnest money deposit check.

Present Offer

We will present the offer for purchase to you.  At this time, we can provide you with background information on the Buyer and explain their reasoning behind the offer.

Accept the Offer

You may accept the offer as presented or you may use our knowledge and experience to structure a counter offer.

Explanation

We explain the terms and conditions of the offer to you.

Mutual Acceptance

At this critical time, VR Intermediaries use their training, negotiating skills and expertise to create a mutually acceptable agreement and it becomes a contingent purchase and sale agreement.

Inspections

Nearly all offers are contingent upon the Buyer’s inspection and approval of all aspects of the business operation including financial records.  The handling of the due diligence is the most important step in the process of a successful sale.  The Buyer will need to be satisfied that all the necessary licenses and permits necessary to operate the business are in place.

Contingency Removal

The Buyer needs to remove all the contingencies for the agreement to become a binding offer for purchase and sale.

Lease Assignment

We work to present the buyer’s experience and financial qualifications to the landlord in order to obtain a lease assignment or a new lease.

Note Assumption

If there are existing equipment leases or loans that the buyer is to assume, we can work with the lender, closing attorney or escrow company to transfer those obligations.

Closing Preparation

The closing documents are based on hundreds of prior transactions.  They are tailored to meet the individual needs of you and your Buyer at the time of the sale.  They are coordinated by either an attorney or an escrow company.

Inventory

When applicable, we will assist you in finding professionals to assist you with the inventory process.

A Successful Sale

We assist with the many details required for a smooth transfer of possession. All parties then sign the final agreement, the business is transferred and the funds are distributed.

Congratulations are now in order for all parties involved!