The most likely reason for a business sale in the smaller end of the SME sector is that the business owner wants to retire. This in turn will create an opportunity for another business owner who wants to expand by acquisition or possibly for an employee who wants to become a business owner.
We have successfully acted for both sellers and buyers in such transactions. The key factor to making the deal work is that both seller and buyer achieve their objectives: a ‘win-win’ outcome.
There are a number of key factors to be appraised: the valuation; the method of sale whether by asset purchase or purchase of share capital; tax considerations for the company, the buyer and the seller. We can advise on all these areas.
The seller will also want to know that the business he or she has created is in safe hands and will be looked after and grow. They will also be concerned that the employees will have continuity of employment, if that is what they want. We can be the liaison between both parties to make sure these key points are addressed.
