You are reading this because you are thinking about selling your engineering company. You probably want answers on where you should start, the team you should bring in, and the involved stages. If you are, then this post is for you. However, it is good to note that this post is meant to give you an overview. It is not a comprehensive guide on what is involved in the sale of an engineering company. You will, therefore, have to work closely with a business broker for engineers Orange County trusts.
Selling an engineering company or any other business is very complicated. You need a team of advisors to guide you through the stages. In addition to having a business broker for engineers Orange County trusts in your corner, you will need to work with a transaction attorney, an accountant/CPA, and other consultants. Now let’s take a look at the stages that are involved in the sale of an engineering company.
The first step is all about getting the company ready for sale. Your business broker will perform a business valuation which helps you know how much your business is worth and how much you should ask for it. The broker will also create a confidentiality agreement, Information Memorandum and a blind teaser.
The next step is to determine the best candidate for your engineering company. The ideal buyer will depend on what you want to achieve from the sale. Your broker will create a map of all potential buyers and explain why they are the best investors.
To find a buyer, your business will have to be marketed. This involves the use of listing sites and presenting blind teasers to potential buyers already in the business broker’s database. Each potential investor has to sign an NDA or confidentiality agreement before any identifying information is shared with them.
Interested buyers will give non-binding offers. It is the job of your business broker to review these offers and prescreen potential buyers before accepting their offers. The broker will also help with negotiations and report on meetings and contacts.
Upon signing the sale agreement, the offers become binding offers. This opens the way for due diligence and further negotiations. A virtual data room may be created to ease the sharing of documents safely.
The final step includes signing a purchase and sale agreement and due diligence negotiations. Finally, when everything is in order, the transfer of ownership takes place.
The process is not as simple. You need an experienced business broker for engineers in Orange County to help you sell your company the right way. Always refrain from doing things on your own.