Sign an agreement of representation with JSBS to assist and counsel you
throughout the sale process.
JSBS contacts researched, qualified buyers, and provides a few salient
features of your company to determine initial buyer interest. Your name is not
revealed until a Confidentiality Agreement is executed by the potential buyer.
If there is interest, the potential buyer signs a Confidentiality
Agreement. The Confidentiality Agreement prohibits the potential buyer from
disclosing any information about the operations of the seller's (your)
business, or that a sale is in progress.
Preliminary information is provided to the potential Buyer. This will
contain some basic outline information on the business such as: financial
highlights, operating areas, reason for sale and other major items of
importance. From the preliminary information the Buyer will determine their
level of interest and whether they want to proceed.
Buyer requests detailed documentation and possibly an on-site visit.
Third Party Contracts
Customer lists (without names)
Business growing or contracting
Profit and loss statements
Concentration of business
Family compensation and perquisites
Large one-time expenses
Offer to Purchase
The buyer makes a written or verbal offer which will include the purchase
price and terms. Upon agreement, the buyer will generate a Letter of Intent
(LOI). If you agree and sign off on the LOI it will become the basis for the
This is the procedure wherein the buyer verifies the information the seller
With seller's (your) agreement, the buyer's attorney draws up the Purchase
Agreement. This may occur concurrent with due diligence. The Purchase
Agreement may be signed contingent on successful completion of due diligence,
or it may be signed after due diligence is satisfactorily completed.
This is the final step. It may be done in person with attorneys present or
over the phone. Documentation is exchanged, funds are paid and the buyer is
the new owner of the business.