Business selling usually closes in three to twelve months. However, there are many things that could go wrong during that time, so keep your focus on the task at hand and be careful not to mentally retire before the finish line or spend any of the anticipated funds.
Proceed according to plan while an active deal is in progress. Even when business owners have an advisory team, selling a business takes a lot of time. However, meeting revenue projections, profitability targets, and other important financial metrics is crucial during this time.
Before the deal closes, consider the following additional suggestions from our business brokers in Roswell, Georgia:
Work with your business advisory team to ensure that you are not disclosing too much early on. A letter of intent (LOI) is mostly non-binding and outlines the proposed terms of the deal. Get potential buyers to sign a non-disclosure agreement. The purchase still has a long way to go!
Working with your M&A attorney and CPA to discuss the tax implications of various deal structures and your potential tax liability (such as key employee departure, regulatory risks, and industry shift) is essential because time is your enemy.
You should also think about other aspects of your situation, like asset protection, gifting, trusts, and estate planning. Put together a strategy to get the most out of the money, whether you want to retire completely or start a new business or something in between.
When it comes to reliable and professional mergers and acquisitions, Century Mergers & Acquisitions is the one to call. Our business purchasing experts can help sellers and buyers meet halfway in a fair and understandable agreement.
We also do real estate in Georgia.
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