Buying or Selling Business and LeasinG

If you are considering selling your business, it is important to work with a professional who understands the process. At AA Business Sales, we welcome the opportunity to discuss the services we provide—there are no up-front fees for our assistance. We cover all advertising and marketing costs associated with the sale, including listing your business on major business-for-sale websites.
We take pride in helping entrepreneurs buy and sell businesses smoothly and successfully and dedicated to providing high-quality service and finding the right buyer for your business. We manage the transaction carefully to ensure it is completed efficiently and with minimal stress for you.
Unlike real estate agents, we focus exclusively on businesses—we don’t sell houses or vacant lots. By working with a professional, experienced business broker, you maximize your chances of a successful sale and achieve your business goals. For a prompt, professional response to your questions, please contact us at AA Business Sales. All inquiries are strictly confidential

For a prompt, professional response to your questions,
please contact me at AA Business Sales. All inquiries are strictly confidential.

What Happens When There is A Buyer for My Business?

When a buyer is identified for your business, it is critical to continue operating the company in an aggressive, growth-oriented manner. Do not ease up on day-to-day operations during the marketing or negotiation period. All decisions should be made in the best interest of the long-term health and performance of the business.
Maintaining accurate and up-to-date financial information is essential. Work closely with your accountant to produce monthly financial statements with year-to-date figures. Serious buyers expect reliable data that is current—typically no more than 60 days old.
Once the buyer and seller reach an agreement on price and terms, buyers generally want to move toward closing as quickly as possible. Throughout this process, it is extremely important to keep all matters related to the sale strictly confidential. Premature disclosure can disrupt operations, create uncertainty among employees, and negatively impact relationships with customers, suppliers, or competitors.

Why is Seller Financing So Important?

Seller financing is often a critical factor in successfully selling a small business. In many cases, businesses listed as all-cash transactions simply do not sell. Sellers who require all cash should expect offers discounted by as much as 10 to 30 percent. Offering reasonable financing terms dramatically increases the pool of qualified buyers and improves the likelihood of a sale.
Because very few lenders are willing to finance the purchase of a small business, seller financing is frequently the only practical way to complete a transaction. In addition, the seller earns interest on the financed portion of the sale, which can significantly increase the total proceeds over time.
Most importantly, seller financing sends a powerful message to buyers: the seller has confidence in the business’s ability to generate sufficient cash flow to make the payments. That confidence can be the difference between hesitation and commitment.

What Can I Do to Help Sell My Business?

To help sell your business, be prepared to actively participate once a buyer comes forward. We will assist in preparing the offer using our standard purchase contract, which clearly outlines the buyer’s proposed price, terms, and any contingencies. These contingencies typically specify the due diligence the buyer intends to perform.
You should expect to be asked to provide documentation such as tax returns, bank statements, sales tax reports, and other records necessary to verify the financial performance of the business—usually covering at least the past three years. Buyers will also want to review any agreements that affect the business after the sale, including leases, franchise agreements, and other material contracts.
All offers will be presented to you for your review and consideration. You always have the right to accept an offer, submit a counterproposal, or reject it entirely. However, it is important to understand that if an offer is not accepted, the buyer may withdraw at any time.
Be prepared to invest time and effort at this stage of the process. Buyers come from many different backgrounds, cultures, and parts of the world, and negotiation styles can vary widely. Take the time to evaluate each offer carefully and objectively. An offer may contain both strengths and weaknesses, and thoughtful negotiation can often address concerns and improve overall terms. In many cases, the first serious buyer ultimately proves to be the best.

How are businesses priced?

Business pricing is ultimately influenced by supply and demand, but there are established “rules of thumb” and valuation formulas used to determine a realistic market value. Before a price—or a price range—can be suggested, your business broker will need to review the company’s financial information.
Most sellers have an idea of what they believe their business is worth, and that perspective is always considered. However, an experienced business broker understands current market conditions and, after reviewing the financials, can recommend a price range that reflects what the market is likely to support. This range typically includes both a high and a low asking price.
Because many business sales involve seller financing, the structure of the transaction is often just as important as the selling price itself. The amount of the down payment, the length of the term, and other financing conditions can significantly impact buyer interest and the likelihood of a successful sale. In some cases, how the deal is structured matters more than the headline price.