Business Broker for Engineers Orange County – Stages of Selling an Engineering Company

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.

Documentation

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.

Candidate selection

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.

Marketing

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.

Offers

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.

Agreements

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.

Closing

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.

Business Broker for Engineers Orange County

What Client’s Say

We Couldn’t Be Happier

"When we thought about selling we had no idea what our business was worth or how to go about selling. What you were able to do was to cut through the fog so that we understood the valuation issue and had a comfort level with the process. As you know we ended up selling for somewhat more than the original valuation and we got all cash and our CPA loved the way our tax liability was minimized. We couldn’t be happier!"

Over $250,000 More

"Our first contact with you shocked us when you suggested that we wait 18 months before selling because you believed that if we hit our projections that the value would be significantly greater. As it turned out we not only followed your advice but also got slightly over $250,000 more than we originally had hoped for. It is seldom that we have had the opportunity to deal with a firm that doesn’t want both money and a commitment NOW. It was clear and obvious that you had our best interests at heart."

You Got the Valuation We Agreed On

"You did a great job on the sale of our business in really beating the bushes for buyers, including a UK company that was an active suitor. You managed to get the valuation that we had all agreed upon and got it substantially all in cash and got the transaction closed with little to no problems or expensive lawyers involved."

Thank You for Handling Our Business

"Our business was smaller than what your firm normally handles but it was a BIG part of our net worth and savings. Thank you for handling our business and we were very pleased and delighted with the results."

More Than Anticipated

"Our transaction was involved as we had different corporate entities located in different states. Our only regret is that we didn’t retain your services before 2012 when we paid $25,000 to a firm in Texas that did a valuation and market analysis for us before then failing to do anything in the way of trying to sell our business. You got it sold for more than anticipated."

Documentation

Candidate selection

Marketing

Offers

Agreements

Closing

The Sales Process