Preparing a business for sale, legal support of business sales
Business owners, for one reason or another, may want to sell it. Assessment of an enterprise, preparation for sale, negotiations with buyers are complex and time-consuming tasks. Therefore, we offer assistance in sales of business – a comprehensive service for full support of the deal.
Below we will consider the most important stages of the procedure.
Stage 1: Preparing business for sale
Firstly, business shall be evaluated: independently or with the support of an expert. This requires up-to-date management reporting, confirmed by official documentation. One of the main evaluation criteria is the payback period of a business: the shorter it is, the higher cost of sale.
The next important step: legal due diligence of the business. This procedure will identify risks and make recommendations for their elimination; it increases the cost and liquidity of the asset being sold.
It is also important to prepare a commercial offer for the sale: at this stage it is necessary to identify a potential buyer, identify his needs.
The next step is to analyze the deal for tax risks, determine its scheme and prepare information for the lender. It is also helpful to prepare in advance the answers to the most likely business questions from buyers.
Finally, it is necessary to prepare a business presentation: a visual presentation increases the chances of successful sale of the company.
Stage 2: Search for potential buyers
After preparing business for sale, owners need to identify the potential buyers, to interest them and come to a preliminary agreement.
The search for buyers includes the following procedures:
- Publishing an ad: this can be done by placing an ad on Internet.
- Meetings and presentations.
- Preliminary negotiations on the terms and schemes of the deal.
- Legal due diligence of the buyer.
- Preliminary approval of the terms and scheme of the transaction, drawing up a protocol of intent, preliminary purchase and sale agreement.
Stage 3: Legalization and completion of the deal
Professional assistance in the sale of a ready-made business will act as a guarantee of competent legal registration of the transaction and its closure. This is the final stage, which includes several stages:
- Final definition and agreement of conditions.
- Preparation of documents: contracts, agreements, guarantees, protocols.
- Monitoring compliance by the parties with legal requirements for the procedure.
- Verification of payment and transfer of rights to an asset.
- Closing the deal.
VALEN offers qualified assistance in business sales in Moscow and other Russian cities. We will provide all the necessary information for the sale, as well as provide comprehensive support of the deal.