Every director selling a business will always approach the deal with care and attention to detail. But even those who pride themselves on great diligence can still underestimate how much work is involved in advance.
Preparing a business for sale at its best possible value takes many months of strategic planning. Smart directors think several years ahead to ensure the business is as profitable as possible and prepared to withstand the rigors of a sale process.
International M&A specialist Shield Corporate Finance Ltd highlights the three distinct phases involved in selling your business:
Detailed research and preparation are absolutely crucial. Selling a business without carrying out the proper work in advance could prove disastrous for your company.
Presenting the value of the investment opportunity requires careful advanced consideration. Experienced advisors will understand what attracts and deters acquirers and so can present the business in its best light.
Identifying the best potential purchasers is vital. The quality and quantity of purchasers in a sale process determines the strength of competition. The stronger the competition, the greater the scope to maximise the value of the company being sold.
Phase two – Marketing – must be done discreetly and with appropriate confidentiality agreements in place.
Specialist M and A advisor, Shield Corporate Finance, works as a dedicated value advocate for your company, assisting potential buyers to understand the true worth of your business.
Stage three – Negotiations – is the point at which an experienced advisor such as Shield can really bring significant added benefits to the sale process.
Bringing in M&A specialists ensures that a disciplined negotiations structure is put in place from the outset, helping to ensure that your business is sold for the best possible value under favourable contract terms.
Shield works with companies with operating profits in excess of £500,000. It provides services including:
• selling a business
• preparing a business for sale
• business valuation
For more advice on selling a business for more, contact Shield’s Founder and Chief Executive Dr David Young, +44 (0) 20 7031 8265.