Selling Your Business

For most owners this is a difficult decision to make, you’ve built your business over time with TLC so ask yourself - do I really want to part with it? What does the future hold if I sell? What do I need to do to sell?

Preparation prior to selling is paramount:

  • Financial Statements
    • Profit & loss as many years as possible. (3 previous years is generally accepted as normal requirement)
    • Latest figures (Year to date), notes on all financials.
    • An Add-back sheet of non-recurring, extraordinary or personal expenses.
    • Business activity statement (copies of last 12 months monthly or quarterly BAS statements).

 

  • Lease Documents
    • Provide a copy of a fully stamped executed lease, signed by all parties. (Not an unsigned draft copy).
    • If applicable provide Deed of Assignment fully executed by all parties. (A Deed of Assignment is where you have bought a business, and the lease has then been assigned to you).
    • Provide a copy of your latest rent invoice from your landlord.

 

  • Plant and Equipment
    • List of all plant & equipment owned by the business, used in the normal operation of the business, and to be included in the sale of the business
    • Leased equipment which is not to be paid out at settlement with a copy of the lease agreement and payment advice or invoice.
    • List of rental and / or loan equipment not owned by the business, costs per month and details of the loan.

 

  • Business / Website / Domain Names
    • We need to know the full business trading name.
    • The name of the entity or full names of the owners of the business.
    • A copy of the business registration certificate.
    • Full names of all directors of the business.
    • Contact details of Directors / Owners of the business.
    • Website name, e.g.: www.your-business.com.au
    • Registered domain names e.g.: www.your-business.com or www.your-business.net  

 

  • Business Phone, Fax and Email Addresses
    • Current business phone, fax and mobile numbers essential to the running of the business.
    • All email addresses used by the business.

 

  • If freehold is included in the sale an up to date valuation of the property and buildings to ensure an accurate asking price and proof of the asking price.

 

  • After listing other documents & information will be required for a full understanding of your business. For example:-  A business history, staffing roster, competition, and the reason you are selling at this time. This is one of the questions buyers always ask.

 

Thinking of selling your business – think Progressive Business Brokers.