Selling Assessment & Valuation

Phase I – Assessment & Business Valuation Analysis

BMI’s process for selling a business includes a thorough 15 step process for completing the sale of privately held businesses, as well as post-closing assistance and follow-up. There are three major phases in the planning and execution of the business sale transaction process: Assessment and Valuation, Marketing and Identifying Buyers, and Negotiation and Closing. The first phase of Assessment is crucial to determine the timing and strategy of a potential sale.

I. Assessment Meetings

The process begins with one or more meetings between you and BMI at a confidential location of your choice. We discuss your personal goals, the state of your company, the industry and how they relate to the current merger and acquisition market. We discuss the various possibilities including a sale, partial sale, merger, or future employment, and positioning your business for an eventual sale. We also explain the process and what you can expect to happen if you decide to sell your business.  These assessment meetings can happen over days, weeks or even years.  A major decision to sell your business requires planning and careful thought that should not be rushed.  Good professional advisors will not rush you into a decision.

II. Pricing Analysis / Business Valuation

In order to make the decision to sell or hold, you need the information to make an informed decision. We will review the history of your business, recast your financial information, assess the business strengths and weaknesses, and project future performance. This in conjunction with a review of your industry, trends, and recent acquisitions allows us to develop the comprehensive picture of your business that is then used to develop an opinion of value. We utilize our extensive market knowledge along with our databases of thousands of business transactions to provide a real world opinion of business valuation.

Real Estate can also be included in the pricing analysis. Several BMI business brokers hold a real estate license and can assist in selling the real estate as part of the total transaction.

III. Define Personal Needs

Your personal needs must be addressed and considered in the execution of the business sale process. At this stage we consider and discuss your needs in conjunction with the realities of your business and the market. Understanding your personal needs will lead to more productive and successful negotiations and final deal structure.

IV. Sell Your Business or Hold

An informed decision is important for all parties involved. Only after the assessment, valuation and definition of personal needs do you make the decision to go forward.

Next Step: Marketing Your Business