Planning the next phase of life is often challenging for entrepreneurs. When thinking of exiting your business, there are many items to consider:
- What do you want to happen to your legacy?
- Who do you want to run your company?
- How much money do you need from the sale?
- How much will you give to the government in taxes?
- Will your family or employees be interested in running the company?
- Do you have the desire to stay on and help with the transition?
The team of experts at Tavola Group is here to help you transition to the next phase of life, whether retirement or another adventure. We provide holistic and transparent services to help you and your family navigate the best path forward for you and your business. We work on a pure contingency basis, and our consultations are completely free with no strings attached.
Please see our general roadmap below, and if you are interested in connecting, please schedule some time to discuss with our team.
Roadmap For Selling Your Business
1. Understanding Client Objectives
Understanding your goals and timelines is the most essential piece to any transaction. Our clients have a broad spectrum of desired outcomes, from passing businesses to family or employees to divesting minority or majority stakes to fuel more growth or completely exiting a business. The structure and timing of the transactions can significantly change the proper structure from a financing and tax perspective to reach peak efficiency for the sellers.
Tavola’s legal, accounting, and finance team provides significant industry expertise. In addition to standard valuation methods based on the quality of earnings and cash flow analyses, we also use our in-house economists to study industry trends and macroeconomics that influence the valuation of your business.
3. Business Operations Study
Understanding the operations of your business from the ground up is an essential piece of creating institutional value and finding the proper buyer, ensuring a higher likelihood of a successful operation post-acquisition. Depending on the structure of the sale, a post-sale success path can be integral to obtaining the best financial outcome for the seller and maintaining the business’s legacy.
4. Development of Marketing Documents
As the final step before marketing the business for sale, and in conjunction with the business operations review, the Tavola team works with you to develop marketing materials that accurately depict the company to the public in a manner that highlights your value and positioning within your industry.
5. Identifying Prospective Buyers
Tavola will actively solicit our network of potential buyers through private and public solicitation. We hold internal communications with prospective buyers and filter down to the best possible buyers for your goals.
6. Negotiations and Structures
Our team works with you and your counsel(s) to structure deals with potential buyers most efficiently, emphasizing post-tax profit to the seller. Depending on the facts and circumstances, various structure options are available, including but not limited to stock deals, asset deals, leveraged buyouts, ESOP transactions, stock-for-stock transactions, IPOs, and more.
The final piece to the engagement is ensuring the deals close and that all parties have clear expectations on any post-closing obligations that may be a part of the transaction. Our diligence and transparency lead to fewer surprises that could interrupt a timely closing.
If you’re ready to embark on this transformative journey or simply want to explore your options, we invite you to schedule a discussion with our team. At Tavola Group, we are not just advisors but partners in navigating the path to a successful business transition and the next phase of life.