Manufacturing Business Broker – Checklist Before You Sign a Sale Contract

Selling a manufacturing business requires that you bring onboard an experienced manufacturing business broker. This is a professional that has lots of experience selling manufacturing businesses. At So-Cal Business Brokers we believe we have one of the most experienced team for you; having been in business for more than 20 years. We know what to expect during a sale and how to help a client get the best results. An area we ask you pay close attention to is that of signing contracts with buyers. Even when we are representing you we recommend that you consider the following before signing.

Your aims have been met

The worst mistake you can make is that of assuming our manufacturing business brokers have addressed all your objectives during negotiations. Compromises are normally made during negotiations. The best thing you can do is go through each contract before you sign. The goal is to review your aims and see how well the contract meets them.

Ensure all agreed terms are included

Contracts are written by human beings. What this means is mistakes are bound to happen every now and then. As you review the contract you have to make sure it includes everything that was agreed on. Don’t take our word for it. If something is not written there will be no way for you to prove it if something goes wrong. The rule of thumb as you sell your business is to get everything in writing.

Make sure the contract is not vaguely worded

You are not an attorney so determining if the terms in the contract have been worded properly can be hard. Before you sign any contract we recommend that you work with an attorney. An attorney will help determine if there are any vaguely worded provisions, exclusions or limitations. Vague terms will lead to problems down the road.

Terms of the non-compete agreements

When selling businesses we have found that most buyers will require you to sign non-compete agreements. Our manufacturing business broker will help you evaluate the terms in this contract to determine if they are fair. You should also do the same. You definitely understand your business better than us. You will be in a better position to identify draconian non-compete terms. We can then help you renegotiate.

Our job as your representative is to ensure you get the best results at the end of the day. Your interests and ours are intertwined. Contact us to take advantage of our free consultation.

Manufacturing Business Broker