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.