Preparing to Sell Your Business

You'll come out way ahead, both financially and personally, if you make an effort to understand the steps in selling, formulate your plan carefully with the help of your professional advisors, and, when the time comes, take the time to properly prepare and negotiate a price and terms that satisfy your reasons for getting out of the business. VR has identified specifics needed in order to aid a successful transactions:

• Having provable books and records increases the numbers of potential buyers
  Buyers want proof of sales and profits the business has attained in the past
• Expectation of a reasonable price and terms
  Educated buyers only consider competitively priced businesses.
• List of assets including furniture, fixtures, and equipment.
  A complete inventory that can be referenced during inspection.
• Attractive lease
  Knowing the terms of assignment or of a new lease.
• Best possible appearance
  Having the business premises neat, clean and in good repair
• Valuing the business properly
  A valuation on the business creates a document that proves value to the buyer and shows the business to be competitively priced.
• Covenant not to compete
  Preparing the terms of non-competition within an appropriate distance and for an reasonable period of time
• 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!
  Most adverse situations, such as landlord problems, outstanding loans, tax arrears, unfavorable equipment leases, and even non-compliance with zoning, health or other regulations, can be overcome if known to your professional VR Intermediary.