- A formal written report estimating the likely selling Price range of a business and its saleability prospects.
- The preparation of Memorandums of Information (MOI) specifically designed to inform business buyers and to meet their ‘due diligence’ requirements.
- The business for sale of marketing programs and regular reporting and discussions with clients on the progress of their sale.
- The assessment of prospective buyers in terms of the interest, financial and business capabilities and make a recommendation to proceed or otherwise with their enquiries
- The completion of Confidentiality Agreements to protect the interests and privacy of Clients, their businesses and their private and personal information.
- Liaison with prospective buyers in discussions with clients to facilitate inspections and ‘due diligence’, including third parties.
- The liaison and discussions with clients and prospective buyers to negotiate a practical arrangement to transfer the business and then raise Business
- Contracts of Sale worded to give effect to those arrangements for clearance by solicitors.
- The administration of the Business Contract for Sale through to settlement.
Business Valuations and Appraisals
A business valuation is an opinion people rely upon to make decisions. Appraisals are not. They are estimates only and cannot be relied upon to make decisions
There is no licensing regime in Australia as to who can do business valuations, hence there are a large number of cheap, online or quick response offerings available.
Reliable and creditable valuations, fit for the purpose for which they are needed, will take many hours to do.
The scope of the work in a valuation really determines the cost. The scope of the work that complies with the standards for legal, government and professional advice is mandated by legal, government and professional bodies like the Family Law Court, the ATO, International Valuations Standards and the Accounting Professional & Ethical Standards.
Complete valuations will deal with three areas;
- The physical nature and environment of the business,
- The business sales market; and
- The business financial information.
Valuations which do not address these three areas, cost less and are limited in their accuracy, reliability and credibility. That means people who rely on these valuations accept the risk for the valuation opinion may be incorrect.
We do appraisals for business sales on the clear understanding that they are an estimate only.
We do business valuations which comply with the governing standard and fir for the purpose for which they are intended. We do them for:
- Business Sellers and Buyers;
- Business planning and development;
- Stamp duty;
- Taxation matters;
- Partner Separation;
- Dispute Resolution;
- Compulsory acquisition by Government Authorities.
Experience shows us that serious buyers are becoming increasingly frustrated in finding a good business for sale. There are literally thousands of businesses for sale and other opportunities offered under various terms and conditions. Finding a good business in the location a business buyer would like, in an industry they prefer and within their price range is difficult, even for those of us in the business brokering industry.
We act for business buyers who have retained our services. We cannot act for business buyers where we represent a business owner or seller.
We can do an initial investigation into the current market to find suitable business opportunities, initially peruse and cull those opportunities and recommend where time and resources could be gainfully spent.
We can conduct an initial investigation the business sales market for business opportunities meeting a business buyer’s criteria. Thereafter, we recommend or otherwise, if a business buyer (our Client) should invest time and money into opportunities found.
We conduct ‘in depth’ assessments of businesses and make recommendations, or otherwise, as to whether or not they are worth pursing.
We can offer advice on the price that should be offered and the terms and conditions that should accompany such an offer.
We represent business buyers in negotiations with the Seller or the Seller’s Business Broker, to reach, or otherwise, a price and a practical workable arrangement to acquire the business.
Assistance with the conduct ‘due diligence’ prior to any final commitment being made.
We do other work for our Clients as need to acquire a business opportunity.
We act for the business owner who is our Client when we are representing their business for sale.
We provide parties who are making enquiries about these businesses with every care and consideration to assist them with their enquiry.
Sadly, in today’s world, many people click on links asking for information. More often than not, these people have no real interest in, or financial capacity to purchase the business they are making an enquiry about. They are merely ‘just curious’.
One of our primary roles is to liaise with prospective buyers to establish their identity, interest, location, buying time frame and financial capacity to purchase. People inquiring about a business represented by us will find Clients are not interested in dealing with evasive parties. Simply, if you can’t tell us, we can’t recommend you to our Clients. Invariably, one of the first questions asked by a Client will be about the financial capacity of the party to purchase.
Thereafter, we discuss the enquiry with our Clients. It is for our Clients to decide whether or not to proceed.
Serious business buyers will find we do have the information and documentation they expect. There is a process where the interests and those of the business and the owners are carefully considered. The information is provided in a purposeful and timely manner through our secure data room.