If you've MADE THE DECISION TO SELL YOUR BUSINESS:
The timeframe required to complete a transaction is (on average) approximately 12 months. The process is as follows:
Value Asessment: The first 30 -45 days of the process are devoted to establishing the current fair market value of your company. Regardless of whether or not the value is used in the marketing process, this step is critical. It sets expectations moving forward and provides a platform to fairly evaluate future offers.
Professional Packaging: The next 30 days are devoted to establishing the materials necessary to take the busines to market. These include both the initial teaser and the full confidential offering memorandum, obtained by potential acquirers only after signing a non-disclosure and submitting their financial capabilities.
Marketing Plan: While the marketing packages are being developed so will the marketing plan. The marketing plan identifies the means necessary to communicate with the most probable, financial, strategic, and individual buyers with potential interest in acquiring your company. The marketing plan establishes the roadmap for the marketing process.
Market Creation: It's all about execution by your M&A team. The typical timeframe to complete this phase of the process can be anywhere from 3 - 8 months. It's difficult to estimate how quickly the market will respond to your offering, but locating the RIGHT buyer typically takes some time.
Offer Evaluation & Negotiation: Once the market has been fully developed, and offers have been gathered, you will have some time to evaluate and discuss the merits of each offer with your M&A team. Your M&A team will negotiate with the potential buyers and obtian the BEST possible deal for you, your business, and your personal situation.
Due Diligence: This phase is oftentimes be the most strenuous for the seller. It involves patience while the heavy lifting is being done by the buyer and buyer's due diligence team. Your M&A team will be controlling access to your information, providing supporting documentation, while the buyer's team to obtains assurance that the information they have received is true and correct in all material respects.
Closing: Success! Final documents detailing the transaction are exchanged and executed by both parties. Consderation is exchanged. The goal has been accomplished!
Whether you’re just starting to think about the idea of selling your business, or if you’re ready to start the selling process, our professionals can help. Have one of our sell-side professionals contact you today by filling out the box to the right.
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"I retained River’s Edge to help me sell my business. I was very concerned about any business broker’s ability to successfully market my business in a timely manner, while maintaining confidentiality. Scott and his staff exceeded my expectations. He was extremely responsive, professional, and he proved to be very adept at moving the deal forward as complications cropped up. I would recommend River’s Edge Alliance Group to anybody looking to buy or sell a business. I hope to use them again myself!"
-Stuart Lebovitz, Former Owner, USA Baby To Teen
River’s Edge Alliance Group is proud to have served the following clients: