Buyers

The decision to buy a business can seem daunting if it’s your first adventure into self-employment. It doesn’t have to be. That’s where a professional business broker can remove most of the anxiety. We at Transworld have broken down this process into 20 manageable steps. My goal is to quarterback the deal for you so that these 20 steps will be accomplished smoothly and in the shortest time possible.

THE 20 STEP BUYING PROCESS

  1. Commitment – Your commitment to purchase a business at price and terms consistent with the marketplace.
  2. Disclosure -  You sign an agreement promising to maintain confidentiality for all the information provided to you on the businesses we discuss.
  3. Background Information – You provide me with information about yourself, via a resume and a financial statement. The more I know about you, the more likely I can find a business you will like; and the possibility for better terms greatly increases by providing this information to the Seller.
  4. Review – You and I discuss and review various types of businesses and select some that appeal to you.
  5. Showing – I show you the businesses you are interested in and the important factors of each.
  6. Meeting – Probably a meeting among you, the Seller and me. This gives you a chance to ask detailed questions you may have about the business, and to better describe your qualifications to the Seller.
  7. Offer to Purchase – You write, with my assistance, an offer for the business you’ve chosen. Your offer will be a “contingent offer” meaning it is non-binding until the Seller has met all your conditions. Typically, you deposit earnest money at this time to demonstrate your seriousness to the Seller.
  8. Present Offer – We present your offer to the Seller.
  9. Background – I give to the Seller your background and financial information, your experience and point of view in arriving at the offer price, terms and conditions. Favorable background information about you results in favorable consideration of your offer.
  10. Explanation – We carefully explain the terms and conditions of the offer to the Seller.
  11. Acceptance – The Seller accepts the offer as it is written or makes a counter offer.
  12. Mutual Acceptance – When you and the Seller agree to all terms and conditions of the sale, the offer becomes a Purchase and Sale Agreement.
  13. Inspection – You meet with the Seller at my office to examine the financial records of the business. Any questions are resolved here.
  14. Contingency Removal – You remove all contingencies of the agreement.
  15. Lease Assignment – We work with the landlord to get an assignment of the current lease, or negotiate a new lease for you.
  16. Open Escrow – We provide all necessary documents to the transferring agent so they can prepare the closing papers.
  17. Lien Search – The escrow attorney performs a lien search on the business to identify any secured creditors.
  18. Inventory – Arrangements are made for you and the Seller to count and price the inventory (if required).
  19. Closing – All parties meet to sign documents.
  20. Follow through- continual communication to see that all agreements are fulfilled.