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When the thought of making a move “gets real,” there’s another level of duediligence that advisors should embark upon. Most advisors consider the process of duediligence to be a disruptive and cumbersome ritual of “meet and greet.” So, what’s “strategic duediligence”? So, what are you to do?
Finalize the Sale and Close the Deal Complete duediligence Manage buyer questions and site visits Negotiate, sign, and close the deal 1. Resolve any outstanding tax issues, make sure your financial statements are accurate, and address any discrepancies. Look for opportunities to cut costs and improve efficiency.
What is the valuation and feestructure? Tell me about your feestructure. The most common way an M&A advisory firm charges for its services is with a retainer and a success fee. Can’t Get Enough DueDiligence? What valuation range should I expect for my business and why?
A lawyer can also advise you on legal issues such as liability, tax implications, and intellectual property rights, ensuring that you are not unknowingly giving up any valuable assets or assuming any unwanted liabilities. Consider Cost Legal fees can add up quickly, so it is important to consider cost when choosing a lawyer.
Selling a business is a long and complex process, and the fees vary considerably depending on the size and type of business you run and the broker’s feestructure. Still, knowing some industry averages and the breakdown of the types of fees you’ll see can be helpful. Success fees are generally higher for smaller deals.
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