| If you are considering selling your business, then | | | | - Talk about the different trends that are going |
| you'll likely be working with a "Business Broker." | | | | on in your industry |
| When you start your work with them, he or she | | | | - Articulate what you see for the future of your |
| will ask you many questions about your business | | | | industry |
| and your goals. There are two primary reasons | | | | - Describe the demographics of your industry |
| they ask so many questions: | | | | - Talk about the general issues of your industry |
| - Your business broker needs everything that is | | | | Understanding a bit about Your Customers |
| relevant to the business buyer. This speeds up | | | | - Who are your primary customers? |
| and makes everything work more smoothly and | | | | - How do they pay you? |
| ensures that the buyer won't will agree to the | | | | - Have you recently lost any primary customers? |
| terms more readily. | | | | - What new major customers have you added |
| - They will also need the details for the marketing | | | | recently? |
| of your company. | | | | - What is the buying cycle of your primary |
| To be ready is to succeed. The goal is to get it all | | | | customers |
| prepared from the get-go before the buyer, | | | | Getting the scoop of your Sales and Marketing |
| bankers and investors ask for the information. | | | | - Let your broker see your sales and marketing |
| This is how they'll make sure that the process | | | | plans |
| runs smoothly, and it's how they make sure that | | | | - Provide a detailed description of your marketing |
| you come away with the best deal, and that they | | | | and sales process |
| come to closure on the deal. | | | | - Discuss your sales force with them |
| What You'll Provide About Your Company | | | | - What type of advertising and promotion do you |
| What you see next is a partial outline of the | | | | do? |
| information you'll provide about your business | | | | - Describe your distribution channels in full. |
| when your broker gets things rolling. | | | | What About Your Competition? |
| Company Organization and History | | | | - Who are your most significant competitors? |
| - The complete history and timeline of your | | | | - Will your primary accounts jump ship? |
| company | | | | - How do you think your competitors will react? |
| - How your business is structured, and the | | | | And, There's More... You'll also provide details |
| ownership | | | | about: |
| - Your latest organization chart | | | | - Your Suppliers and Vendors |
| - A list of your key people, any issues you might | | | | - Your buildings and facilities |
| have about your employees, and what these | | | | - All about the equipment you own |
| people do on a day-to-day basis | | | | - A ton of information/data about you |
| Information About Your Services and Products | | | | - And, finally, you'll give them detailed data about |
| - Make a copy of your main services and | | | | your business, financial records, and inventory |
| products | | | | Summary |
| - Write a total description of these products and | | | | As you can see, the data investigation goes both |
| services | | | | deep and broad. When selling a business, your |
| - Now, write the timelines of these same | | | | business broker will try to make the process |
| products and services | | | | easy, and that requires as much information |
| - And prepare a analysis of the competition | | | | about your business at the beginning as possible. |
| - Get all your licences, patents, etc. lined up | | | | This guarantees that the buyer will have all the |
| - Make sure that you've got your product | | | | data he or she needs to breeze through the due |
| delivery mechanisms well-defined | | | | diligence process and will come to closure more |
| - Put all your warranties accessible | | | | quickly. |
| - And, make a complete analysis of your | | | | For more information about selling a business, |
| technology | | | | please visit Bowman/Hanson, the California |
| An Overview of Your Industry | | | | Business Brokers. |
| - Write a summary of your industry | | | | |