05 Feb Around the Web: A Week in Summary
A recent article from Smart Business Network entitled “Dealmaking is the best way to transform your business” provides insight as to why you should keep an eye on the market and keep an open mind about dealmaking.
There is more to dealmaking than just buying and selling businesses. A business can purchase scale, acquire new technologies, diversify into new markets and implement long-term strategies to build a more valuable business. If you aren’t doing these things, your competitors probably are.
The goal is to position yourself to be competitive in your market and a leader in your industry. It’s up to you to identify the right move for your company and develop a strategy to put yourself in this higher position. Dealmaking remains a top way to transform your business, whether it’s big or small.
A recent article from Smart Business Dealmakers entitled “Be Ready To Answer The Tough Questions When You Sell Your Business” discusses the challenges that sellers often face when it comes time to sell their company.
UHY Corporate Finance Director Jeremy Falendysz stresses the importance of educating and preparing yourself about the business sale process years in advance of when you intend to sell. He also shares these common seller challenges:
- Are you psychologically ready to sell?
- Are you prepared to hear harsh criticism?
- Are you prepared to answer difficult questions?
A prepared seller will be able to face these challenges and make the business sale process easier on all parties involved.
A recent blog post from Transworld Business Advisors entitled “Closing the Deal: Understanding What to Expect” reviews 8 key components of the closing after a deal is agreed upon. The road to close has many stops along the way. Some of these include due diligence meetings, opening bank accounts, applying for a lease assignment, and preparing government tax forms.
At the closing, the buyer and seller will review and sign several important documents. Some of these include the sale agreement, loan documents, and forms for transfers of intellectual property.
After all documents are signed, funds are dispersed (often wired) and the deal is officially finalized. The business is now under new ownership.