We provide a realistic assessment of what the business is worth
Owners often place a value on their business that is in excess of what a prospective buyer will pay. They might do so based upon industry rumor, or they might simply hope to get “lucky”. Crown Business Brokers, LLC knows how to value your business. We know, or can find, industry guidelines, and we also know how to apply formal techniques of business valuation that have been developed on Wall Street, and are accepted in Court.
Assistance with recasting the numbers
Businesses are sold at a price that is based upon the total financial benefit that is accruing to the current owner, or owners. In many cases, these benefits are buried in the tax returns, or financial statements, and must be extracted. We develop a comprehensive picture of what cash flow the business is actually generating for the owner or owners, and we use this as a base to establish the asking price.
Handling the negotiating process
There is far more to managing the negotiating process than simply “not leaving money on the table”. Issues that must be dealt with include the terms of the transaction, will the seller work for the business after the sale and for how long, how will accounts receivables and accounts payable be handled, and a variety of other matters. At Crown Business Brokers, LLC, we are experienced in handling issues of this type so that prospective buyers are not alienated, and the transaction is consummated.
Due diligence means the process by which the prospective buyer seeks to determine the accuracy and truthfulness of the seller’s representations concerning the financial and market status of the business. Frequently, this is the stage in the process where many deals fail.
At Crown Business Brokers, LLC, we know how to handle due diligence so that it does not become an obstacle to consummating the transaction.