Top Professionals You NEED When Purchasing a Business
Purchasing a business is not exactly a simply process, so it’s important to be sure you have the right professionals aiding you as you navigate the business buying process from start to finish to help you avoid common mistakes and pitfalls which often occur without having the right people by your side. Having the right set of professionals is extremely valuable and can save you hundreds of thousands of dollars or more depending on your situation. Their guidance and professional expertise will ensure that you get the most beneficial outcome and bring in a, experience level of objectivity to complex transactions. The top three professionals you will want to seek out and employ to help you through this process are a CPA, a Business Attorney and a Professional Business Broker.
1. CPA – Certified Public Accountant
Having a good CPA by your side as you traverse through this process is extremely helpful. Finances can get complicated and not all businesses keep the best records. In fact, small businesses are notorious for keeping bad financial records. An experienced accountant will know how to review the financials of the business and which questions to ask to help determine the business’ earnings potential and the seller’s discretionary earnings to give you a good idea of how much the business is actually worth. When choosing the right one for you, be sure that they are experienced in business valuation and financial due diligence for small business mergers and acquisitions.
2. Business Attorney
Ensuring that your business sale transaction is done legally and properly is of utmost importance. From contacting the current owner and the NDA that you will have to sign to the structure of the purchase, all documents should be reviewed by your attorney prior to signing. There will be decisions to make such a who or what is purchasing the business, you or your company? Are you buying assets or shares. They will also help you to navigate the sale agreement, including purchase terms and any other details which may need to be covered for the transfer of the business ownership to occur successfully and legally. Always research your attorney before hiring and take time to interview them to make sure that you are a good match.
3. Business Broker
Last but not least you will want to make sure that you have an experience Professional Business Broker. They are your guide through out the whole process. They are familiar with what is for sale and on the market and have long established relationships within the business community. They help with what to look for, what questions to ask the owner and can put you in touch with the good attorney and accountant references as well. The Business Broker will also help guide the process along from helping you find the right business, to aiding with putting together the offer, helping to guide you through negotiations and most importantly, they are experts at getting the deal closed.
Having the right professionals working with you will help you find the best business for your desires and needs, present the offer correctly so that you land the contract and help you to review all of the documents, conduct proper due diligence on your side and ultimately close the deal smoothly and correctly. This ensures that you can move forward with protected business assets and confident in the purchase price you settled on. If you are looking to purchase a business reach out to us anytime. We are always happy to help.
If you a looking to get into a new business, reach out to Pacific Merger Group today. You may reach Allen directly via phone 469-569-8347 at or email at Allen@pacificMergerGroup.com