The Purpose of the ‘Closing’ in a Business Sale

What Is A Business ‘Closing’? The final and last step of a business sale is the closing. Frequently conducted electronically, a business closing is where the written closing documents are signed and exchanged and the seller receives payment as called for in the purchase agreement. The parties may also reimburse one another for any customer … Read more

Prepare Your Business for Sale by Reducing ‘Key Person Risk’

Business Valuations Increase with Reduced Owner Role One key factor of business valuations is the extent to which the owner is personally involved in the operation of the business. The more absentee the owner is, the higher the valuation. Conversely, the more involved the owner is in the day to day operations of the business … Read more

Find the Best Business Broker

Hiring the Best Business Broker The most critical step in selling one’s business is hiring the best possible business broker. The business broker will often be entrusted with confidentially selling a business that represents a business owner’s lifetime of hard work and perseverance. Maintaining a confidential sale throughout the sales process and obtaining the best … Read more

Direct Communication Between Business Sellers and Business Buyers

Business Sales Are Confidential Unlike real estate transactions, business sales are confidential in nature. This means that the actual identity of the business is kept confidential from the public, and all prospective buyers of the business must complete a Non-Disclosure Agreement (NDA) and financially qualify themselves prior to obtaining the confidential information about the business … Read more

Franchise Resales

What is a Franchise Resale? A franchise resale is the purchase of an existing franchised business from a franchisee. A franchisee is given the right to operate a franchise from a franchisor during a specified time period within a specified geographic area as outlined in a franchise agreement. This contractual right (along with obligations on … Read more

What are the ‘Intangible Assets’ of A Business?

Businesses Have Tangible and Intangible Assets Businesses have either tangible or intangible assets. Tangible assets include current assets (such as cash or accounts receivables) and long-term capital assets such as physical equipment, vehicles, and land. Conversely, intangible assets are non-physical in nature and include a company’s goodwill, brand, name recognition, customer base, employee relationships, leasehold … Read more

The Business Buyer’s Non-Disclosure Agreement

Non-Disclosure Agreement Protects Seller’s Confidentiality Every South Florida business seller should be aware of how critical it is to have potential buyers complete and sign a proper Non-Disclosure Agreement (NDA). The NDA is a legal instrument by which a potential buyer of a business qualifies themselves by affirming their ability to buy the business, agreeing … Read more

When Does A Buyer of a Business Gain Exclusivity?

When A Buyer of A Business Gains Exclusivity A buyer of a business legally gains the exclusive right to purchase a business during a specified time period when there is a signed and agreed upon Letter of Intent or Purchase Agreement with the seller. Typically, a refundable deposit from the buyer is also placed into … Read more

Are South Florida Business Sales Publicly Disclosed?

Business Sales Different from Real Estate Sales Many business owners who are contemplating the sale of their business may wonder whether the sale will be publicly disclosed. Often times, they wonder whether the terms of the deal including the purchase price will be made public. In fact, privately owned business sales in South Florida are … Read more