Middle Market Advisory Services in Dallas
Sunbelt uses a proven methodology to manage the process of selling their clients’ businesses. The following paragraphs provide a general outline of the process. Your Sunbelt Business Brokers service team can provide additional details and modify the process to best meet your specific circumstances.
Sunbelt Business Brokers will provide you with an agreement to clearly document the terms of your arrangement (commonly referred to as a listing agreement, a letter of arrangement or engagement letter). This agreement will address a number of germaine issues including, but not limited to, fees, exclusive representation for a specific period of time, confidentiality and other relevant disclosure issues.
Analyze and Prepare Operations
As a first step in the sales process, we encourage all clients to critically evaluate their business operations, identify opportunities for short and long-term improvements as well as competitive challenges that will be of interest to prospective buyers.
We strongly recommend that clients obtain a valuation of the business being offered for sale. Our appraisal affiliate specializes in professional, confidential business valuation for privately-held businesses. They are the most respected business valuation firms in the nation used by many SBA Lenders.
We will gladly recommend one or more experienced, qualified valuation firms for your consideration, should you prefer an independent valuation.
Coordinate Drafting of Confidential Business Review Memorandum
We will work with you and your management team with the preparation of an effective Confidential Business Review (“CBR”) that can be presented to potential buyers. Company management is responsible for providing all information included in the CBR; and will be consulted every step of the process to ensure accuracy.
Developing a Marketing Plan
In conjunction with the preparation of the CBR and other marketing materials, our team will work with your management team to formulate a marketing plan, including defining the marketing process and establishing timelines. The marketing plan will be customized to fit your company’s particular circumstances.
Identify and Contact Prospective Buyers
Depending upon the nature, size and value of your business, the most likely pool of buyers could be strategic corporate buyers, competitors, private equity groups, foreign companies or local, in-market investors. Our international office network facilitates the identification of potential buyers throughout the world. Sunbelt Business Brokers has a proprietary process whereby your service team can complete a succinct, confidential profile sheet based upon the Offering Memorandum. This confidential profile sheet can then be distributed to groups that we work with to identify those groups that may be looking for investment opportunities in your company’s line of business. Prospective buyers who express interest will be required to sign a Non-Disclosure Agreement prior to receiving any information about your business.
Facilitate Buyers’ Due Diligence
Prospective buyers will be given the opportunity to visit your facilities and conduct on-site due diligence. This process typically entails meeting with designated members of management, reviewing selected financial information and gathering other relevant information.
Assist Clients and Clients’ Professional Brokers with Evaluation of Offers
The goal for any transaction should be to maximize the seller’s after-tax sales proceeds. Accordingly, we encourage clients to involve their attorneys and CPAs in the process as soon as is reasonably possible so that tax planning strategies and other important transaction structuring issues can be thoroughly considered and addressed before proceeding in negotiations with prospective buyers.
Assist Clients’ Professional Brokers with Document Preparation
The seller’s and buyer’s attorneys will be responsible for reviewing the sales agreement and related documents and advising their clients on them. Our brokers will assist with the review and document compilation process.
Facilitate Timely Closing and Assist with Post Closing Issues
Sunbelt will work with the seller and buyer transaction teams (management, attorneys, CPAs) to resolve any open issues and consummate the transaction in a timely fashion.
For a confidential, no obligation discussion, contact us to obtain more information.