A critical rule of selling a business is that prospective purchasers will highly value professional, credible, robust information on your business sale opportunity.
Selling your business is about trying to get someone to share the same, or better, perspective on your business that you have.
Get this information provision right and interested parties can successfully understand and evaluate what you know and value about the business, and then put a fair price on it relative to this type of asset in the marketplace.
Present them with a poor quality Business Profile, or Information Memorandum (IM), and it will reflect sourly on your business.
A poor Business Profile or IM makes a buyer think:
- the business is being run unprofessionally; and/or
- you’re hiding something; and/or
- this process is going to be very costly for them as a purchaser because it will be like pulling teeth to get the right information.
We have created the JPAbusiness IM/Business Profile Checklist to help ensure you include the most important pieces of information when preparing to sell your business.
If you need help with any aspect of selling your business, from marketing plans and IM preparation to sale negotiations, please contact the JPAbusiness team.
James Price has over 30 years' experience in providing strategic, commercial and financial advice to Australian and international business clients. James' blogs provide business advice for aspiring and current small to mid-sized business owners, operators and managers.