The First Step – Make an Offer
The “buyer” seminar that we held this week was very informative – again. (Anyone interested in how deals are done may attend these seminars.) One of our local experts explained the importance of following a process to get to the finish line. Getting a deal completed requires both the buyer and seller to move along with determination and to be able to share information openly.
Although the focus in this seminar was on due diligence, Jennifer Peek, CPA stated that the first step in the process is to make an offer. Without an offer, a seller will be very reluctant to share too much information too soon:
- for fear confidential information may be used to compete against the business,
- the information could get into the public domain without being controlled or filtered,
- and sellers want to make sure they are dealing with a serious and qualified buyer.
Making an offer is fairly simple and carries very little risk for a buyer. At Apex, our offer contracts allow for many contingencies that would relieve the buyer of further obligation. Having an offer on the table allows the buyer to seek financing options and to start researching alternatives for insurance or professional services.
Our Apex Business Advisors can answer your questions about buying and selling a business. Please give us a call.
Doug Hubler
President
