Who should know that your business is for sale?
Only selected qualified buyers. Selling a business is a process.
Following are "Ten Steps To A Successful Sale Of A Business".
"Preparation & Confidentiality are Essential
to a Successful Sale of a Business"

1.

 Opportunity Evaluation - Requires thorough analysis and market research, product research, future market trends, economy trends and the competition
2. Price Evaluation - Selling price is based on many factors. Some of which are; historical earnings, current and future sustainable earnings, asset to debt ratio, book value and adjusted book value, asset or share sale. The selling price is usually quoted in price range.
3. Preparation for Sale - Will require 3 to 5 year historical financial documents, 3-year sales forecast, organizational charts, product information, brochures and list of all assets.
4. Interviewing Buyers - "We select the buyer, the buyer does not select the business". The selection process consists of several screenings and interviews, as well as reference checking. They must qualify as being motivated, suited for the business and having the financial ability to close the sale.
5. The Offer - There are key components to look for in an offer...the structure of the offer, conditions, methods of payment, closing date, post-closing obligations, transition period and the price.
6. Negotiations - We want to get the best possible deal knowing that every offer has a breaking point. Expert negotiators know buyer limitations without jeopardizing the deal.
7. Due Diligence - This is the buyer's opportunity to verify the records. It is important to know which company information needs to be disclosed. Confidentiality is still an important factor.
8. Firming up the Offer - This is the time to deal with all conditions. The offer becomes firm only when all conditions have been waived.
9. The Closing - By this time the lawyers will have prepared all necessary legal closing documents. Now it's a matter of coordinating all parties involved in the signing of the closing documents and the payout of closing funds.
10. Transition Period - Usually starts with introducing the buyers to the employees, suppliers, customers and all day to day operations. The length of the transition period depends on the complexity of the business and the buyer’s experience.