We pride ourselves on providing our clients with a high-quality, custom sales process. A substantial amount of work goes into the sales presentation and marketing plan to sell a business. This type of service is typically not cost effective for businesses priced under $100,000, and our buyers are generally looking for businesses that will have annual profits higher than those that would fall under that threshold.
An escrow company should be used for all transactions with the exception of those closings handled by the buyer’s lender. Using a third party to handle escrowing buyer funds and conducting the close protects both buyer and seller. When using an escrow company the seller knows they will receive funds upon transferring the business over to the buyer and the buyer knows upon the transfer of funds they will receive ownership to the business they are purchasing.
The due diligence process usually takes from 2 to 4 weeks. The amount of effort and detail involved in the buyer’s review is driven by the complexity of the business and the dollar amount of the transaction.
Yes, please fill out the contact us form here and and give us the parameters of businesses you may have interest in. Parameters include industry, approximate range of listing price, SBA financeable, etc. When listings that meet your criteria become available you will be contacted.
Every buyer should perform a complete due diligence on any business they will potentially purchase. The due diligence process should include a review of merchant account statements, bank statements, supplier costs as well as tax returns. The key is to trace the cash from the merchant account to the P&L. Your CPA will help you develop an effective review process.
It depends on the financial history of the business as well as the financial strength of the buyer. Generally if the business has consistent, ideally growing sales and profitability for the last three years and the buyer has a decent FICO score then there is a strong likelihood SBA financing can be obtained. It does however depend on the specific SBA Preferred Lender used by the buyer.