It is not an easy decision when it comes to selling…. so many questions going through your mind, especially if you are selling for the first time. Where to start? What do I need to prepare? Below are some suggestions to help begin the process.
Ensure that you have audited financial statements for the most recent financial year. If available, provide interim Management Accounts, also last financial year and current financial year dispensing Script report.
Provide current staff roster of a typical working week in your business. Consolidate this with wages paid to your staff to provide a snapshot of the expense for a prospective purchaser.
If you have an existing lease, ensure that you have the lease document readily available. The length of your lease is critical to financiers. If you are left with less than 3 years you may have to negotiate a longer lease prior to going to the market. This will add to the saleability of the business. Many lenders may require at least a 7-year lease. If you own the freehold property, consider what lease you would be willing to offer the purchaser. Seek legal advice.
Fixtures & Fittings are a crucial part of selling a business. A depreciation schedule should be available to confirm the list of items and the written down value of those items.