With a 94% success rate, Business Exits will not require you to pay any fee until your Business gets officially sold.
Contents of the Article:
- What is Business Exists?
- How does Business Exits work?
What is Business Exists?
Business Exits believe that they can help you attain your business's highest possible price and find you the best buyer. Furthermore, the company's database of 2500 private equity buyers will increase the chances of you securing a deal. The team running Business Exits does not practice accepting the first offers just for the benefit of immediate payment. Instead, they make sure that you get a confident buyer you can trust.
How does Business Exits work?
On the listing page, you can view all the businesses for sale along with their asking price, revenue, income, and their brief overviews. Once you click on a listing, the website will determine whether the business is accepting offers or not. To know more about the companies you are interested in, you must sign a Non-Disclosure Agreement. This step will involve you filling in your personal details and available cash to invest.
For sellers, you are required to fulfill the following steps:
Submit company information for valuation
The first step is to submit your company details and wait for a team member to contact you for further discussion. The information you will provide for this step may include:
- Your business' tax returns for the past two years
- Profit and loss statement for the most current year
- Statement of balance sheet
After the company has received and reviewed the data you have provided, you will have to wait for a second call where a broker will give you a price range of how much your business is worth.
Business Exits will send you an agreement for you and your lawyer to review. This will contain the responsibilities and roles the company will provide, along with the percentage of commission they will receive upon the sale of your business.
Preparation of Prospectus
After signing the agreement, you will have to provide more information to build a prospectus about your business. The data required in this step include tax returns for the past five years, payroll reports, history of the company, and more.
Next, Business Exits will schedule an interview with a company's copywriter to produce an appealing story and an executive summary.
Before putting your business on the market, the company will set up bank financing for the buyer so you can receive full cash upon sale. This will also allow a wider selection of potential buyers for your business, since they now have the option to loan from the bank.
The next step is producing a prospectus that will contain everything about your business, from its nature, operations, financial data, and more.
The team at Business Exits will mostly be in charge of this step, wherein they will be using different marketing strategies to find the perfect buyer for your business. This stage will take about one to four months.
Accepting an offer
Negotiations will be conducted regarding potential buyers' offers until a final amount will be agreed upon by all parties involved.
Once you have settled on a buyer, they will be given a diligence period to confirm everything that was discussed in the previous steps.
Developing the contract for sale
Here, you will need to have an attorney present to review everything that has been agreed on thus far.
Escrowing of service
A third party will be needed to manage the funds for the transfer of assets between the seller and buyer. And now that there is a transaction and the business has been officially sold, Business Exits will receive a commission.
This stage is dedicated to helping the buyer to learn everything there is to know to run the business.