How We Help Buyers with Due Diligence
Hiring a business broker Fountain Valley is the first step when buying a business. A business broker has more experience and will help navigate the obstacles that get in the way. So-Cal Business Brokers have the best brokers in the business. Hiring our team guarantees complete transparency and surefooted direction.
Most of the buyers who come to us wonder how they can confirm if a business is actually good to purchase. We always give them one answer; due diligence. Due diligence is allowed for in the letter of intent. You will get sufficient time to review the business you are interested in. The best news is that we will be there for you. We know what to pay attention to in due diligence.
To entice you to buy a business, the first thing a seller will provide you with is a business valuation report. There are many methods of performing a business valuation thus the results are not exactly the same. The first thing our business brokers Fountain Valley will do is confirm if the report is accurate. We do this by doing our own independent business valuation. Chances of being exploited when buying a business with us are zero. We will let you know if the asking price is accurate and if the business is really worth investing in.
1099 and W-2 Employees
In due diligence, you need to review the employee roster and ensure you understand which employees are 1099 and which ones are W-2 employees. This difference has a significant impact on business taxes. Our team will dig deeper to ensure you have the full picture of the employees. We will also help you get a feel of the key employees and how they fit in the business.
Retirement and benefit plans
After buying a business, you will need to provide similar retirement as well as benefit plans as the previous owner to the employees. Our business broker Fountain Valley will help you understand what the current business owner is offering and how you can transition once you purchase the business. We also check to see if an employee manual is available and up-to-date.
There are so many things that need to be considered here. Our team will review the tax documents of the company and ensure they are sound. We also check if the business has proper licensing and that its intellectual property is protected. This is an area So-Cal Business Brokers spends more time in.
Our service will help you clearly understand if you are making a good investment or not. Contact us today. We will guide you through the business purchase process.