Selling Your Small Business

Selling Your Small BusinessIn the years following the market crash, several small business owners decided that entrepreneurship wasn’t for them and began the arduous process of selling their business. If you’re ready to sell your small business, there are several things to keep in mind—the most important of which is to seek the counsel of a qualified business attorney. He will be able to help you wade through the complicated jargon of business legalese, and get the best price possible so you can start your new life.

According the to the Small Business Administration (SBA), the next major step is to draft a sales agreement. A sales agreement is as much for the purchaser of your business as the seller: “this is the key document in buying the business assets or stock of a corporation… It is in this agreement that you should define everything that you intend to purchase of the business, assets, customer lists, intellectual property, and goodwill.”

According to the SBA, the agreement will address things that include, but are not limited to:

  • names of seller, buyer, business
  • background information
  • assets
  • purchase price
  • inventory included in the sale
  • representation and warranties of seller and buyer
  • determination both of access to business information and to the running of the business before closing

Having an attorney take a look at your sales agreement is essential for the assurance that what you’ve drafted includes all the necessary information. It also can help to ensure that you get the price you deserve when selling a small business. Determining how to price your business can be tricky. “Valuing a business is not an exact science. Many factors come into play when you’re determining an appropriate selling price,” according to CNN Money Magazine.

If you or someone you know is interested in selling a small business, don’t go through it alone. Contact The Gierach Law Firm today.