Business Transfer Preparation
Developed for business owners when first considering the sale of their enterprise. Those who want to enter the business sales & acquisitions market empowered with confidence, understanding, and a custom game plan. Owners seeking to attain maximum wealth and avoid the shortcomings of the business transfer arena by making the best decisions possible.
The Business Owner’s Challenge
When first considering how to exit a business, owners are faced with a daunting and complex task that may lead to the most substantial paycheck of their career. The result of this effort will impact the quality of their retirement or ability to do what comes next.
Stepping into the business transfer arena unprepared may put an owner on a path that will not deliver best-case results. The wrong first step may impact the sale price and terms or whether the business sells at all. Being unready for the process will result in higher expenses, unwanted frustration, loss of control, or various other vendor challenges that are best avoided.
Markoa solves the business owner’s challenge by providing precisely what owners need at a price that delivers tremendous value without requiring significant time or effort.
Markoa offers proven, confidential, and unbiased preparation services custom-designed for each client.
The course outline is designed to empower business owners with understanding and the insight to make the best decisions possible regarding the exit of their enterprise.
The deliverables will help business owners prepare and control every step of the sales cycle from the first call to vendors through Closing and post-sale commitments.
Review the following for a detailed overview of the course outline, deliverables provided, costs, and the process to get started.
Preparation Course Outline
- Owner’s Exit Options: Review of common alternatives to the typical broker facilitated business sale. Owners need to know all the options available to make the best decision.
- Business Sales & Acquisitions Market: Overview of the market, vendors, and the resource options available. We will cover how vendors work and how best to select and negotiate costs.
- The Business Sale Process: Understanding the timeline, steps of the business sale cycle, expectations, and resources to facilitate each.
- Buyer Types: Review the three main buyer types, their motivations, how they will value a business, and how to succeed with each.
- Confidentiality & Buyer Qualification: Best tactics, expectations, buyer qualification, and Non-Disclosure discussion.
- Business Opportunity Marketing: Marketing methods, resources, listing sites & basics, and Confidential Business Review (CBR) discussion.
- Small Business Administration: SBA “need to know” info and business documentation requirements.
- Financing Considerations: Insight into Seller Notes and typical funding scenarios. The basics of modern business acquisition financing.
- Opinion of Value & Re-Casted Financials: Review the re-casted financials, our Opinion of Value of the business, valuation basics, and rules of thumb for the specific industry.
- The Offer & Negotiations: Review a customized Letter of Intent. Provide insight into the key deal points and essential negotiation advice related to the give and take of deal points.
- Transaction Team: Your vendor requirements, who and when to engage, communication and project management, and the owner’s role in likely exit options.
- Ready, Willing & Able: Discussion of your readiness to sell. Review of your PREScore and things to consider before starting any transition.
- Methodology & Tool Set: Review of our proven methodology and associated Digital Tool Set.
- Value Building: Review your Value Builder Score. Discussion of how to improve the perceived value of your business before taking it to market. Review of helpful resources.
- Custom Game Plan: Discussion of potential paths for you and help to design your game plan. Access to relevant vendors and resources.
Preparation Service Deliverables
- 4 to 8 hours of live, hands-on instruction delivered online and at your convenience.
- Digital copy of the instruction presentation and six months access to the recorded session.
- Opinion of Value: Market value range developed for your business.
- Re-Casted Financials: Your adjusted financial performance defined.
- Letter of Intent: customized to your company and covering key deal points.
- Resource List: List of industry vendors and resources to help attain your goals.
- PREScore and Value Builder Score Reports.
- Industry Stats: Rules of Thumb, pricing tips, and benchmark data for your industry.
- Marketing Package with everything needed to prep and market a business opportunity.
- SBA Tips & Checklist: Tips you need to know and list what is required for SBA.
- Industry Definitions: List of key terms and acronyms defined.
- Summary Sheets for several vital concepts owners need to know.
- Buy-Side Return On Investment Sheet: Created for your business.
- Buyer Registration: Buyer qualification form and NDA content.
- Transaction Team & Project Management sheet.
- Potential for discounted vendor expense.
- One (1) Free hour of follow-up consulting to be used within six months of the session.
- Access to ongoing support if, when, and however needed.
Investment & Terms
- The Business Transfer Preparation investment is $1,995. You may include up to four additional members of your Transaction Team to participate in the preparation session.
- $500 non-refundable deposit to schedule the preparation session and initiate the required preliminary work. An additional non-refundable $250 for each re-scheduling of the session date. All deposits go toward the service fee. You will receive an invoice to be paid via credit card, PayPal, or Venmo.
- The remaining fee to be collected before the preparation session and required before receiving the Deliverables listed above. You will receive an invoice for the balance to be paid via credit card, PayPal, or Venmo.
- Ongoing Support Rate = $165 per hour after the 1 hour free that comes with the Preparation Session. Additional support is only necessary if you require further assistance beyond the standard deliverables listed above.
The time and effort investment includes:
- Review of Markoa.com.
- Any requested preliminary Q&A.
- 20 – 30 minute Discovery Call.
- Time to gather the requested information and documentation.
- 20 – 30 minutes for the PREScore and Value Builder Questionnaires.
- 4 – 8 hours of in-person preparation delivered online.
- 1 hour of included follow-up consulting if needed with six months of the session.
Process & Requested Information
1. Contact us with quick questions or to set up a Discovery Call.
We will promptly respond to any basic questions, but we request a Confidential Discovery Call to convey as much insight as possible before commitment. On the Discovery Call, we will get to know a little about each other, address preliminary questions or requests, and allow us to get an understanding of your needs so we can successfully customize our service. The Confidential Discovery Call is free and without obligation. All communication will be kept in strict confidence.
Call or Text 541.390.7653, email info@Markoa.com, or fill out the form on the Get Started page with basic questions or some time slots that work for you. 20 to 30 minutes is usually enough time for the Discovery Call.
An online video call is preferred for the Discovery Call. For our video conferencing, we use Zoom.us. You will need internet access, a computer with a video camera and a mic (basic stuff you likely have and know how to use). The following links have information on Zoom and system requirements.
2. Confidential Discovery Call Agenda: 20 to 30-minute Video Call
- A little about Markoa and how to get the most from our service.
- Fundamental questions regarding you and your business.
- A quick review of the Preparation Session’s Course Outline and Deliverables.
- Review the prep work requirements for the Preparation Session.
- PRE-Score and Value Builder Assessment introduction and instruction.
- Any remaining questions or requests.
- How to communicate, provide documentation, and the next steps.
3. Commitment to Markoa’s Business Transfer Preparation Services
After our Discovery Call, you can commit to Markoa’s Business Transfer Preparation by:
a. Completing and returning the Service Agreement, we will provide it upon request.
b. Schedule the date(s) for our preparation session. Be sure to give enough time for the necessary prep work and information gathering required before the session. See the Preparation list below. The entire Business Transfer Preparation session will take between 4 and 8 hours to deliver. Sessions can be offered in a single session or broken up into segments to fit your schedule—a minimum of one hour per segment. Call or Text 541.390.7653, email info@Markoa.com or fill out the form on the Get Started page with time slots that work for you. We are flexible and will work before or after regular workday hours if requested.
c. Providing the $500 deposit. You will receive an invoice to be paid via credit card, PayPal, or Venmo. The deposit needs to be received before we start our preliminary work for your session.
4. Information and Documentation Requirements for the Business Transfer Preparation Session.
To provide all of our stated Deliverables, we require specific information and documentation to be received 72 hours before our first session. We will provide a secure and confidential service for uploading digitized documentation. All communication will remain secure and in strict confidence.
a. PREScore and Value Builder Score
These are two brief questionnaires that provide excellent insight into your readiness to exit your business and opportunities for increasing business value. They can be taken at different times, be sure to start with the PREScore.
b. Financial Documentation
The more data, the more accurate our Opinion of Value will be.
- 3 to 5 years Tax Returns or 3 to 5 years Profit & Loss Statements with corresponding Balance Sheets.
- Capital Expense Requirements: Understanding the capital expenditure needs of the business. Projected Capital a new owner would need to have on hand to maintain the current business and its growth rate.
- FF&E value & Factors: Establish a liquidation value estimate for the furniture, fixtures, and equipment transferred with the business. List all FF&E that will transfer with the business and any equipment that will not transfer currently used by the business.
- Inventory Value and basics: Understanding of the inventory expense and fluctuations.
4. Leases in place
- Term & Extensions
- Price & Increases
- Facility or Equipment Basics
- Relevant Factors
5. Outstanding Requests from the Discovery Call. We will provide it after the Discovery Call.
Disclaimer – Legal, Accounting, and Real Estate : Markoa is not a real estate brokerage, and therefore we do not handle any aspect of the lease, sale, or purchase of real estate. We are not lawyers or accountants. Although we provide insight regarding regular industry-related legal and accounting basics, all legal issues and contracts need to be reviewed by your attorney, and all accounting assumptions and tax-related concerns need to be addressed by your accountant. With that said, we do help you prepare for and communicate with your Transaction Team.
Ready to Invest in Your Next Steps?
Let Markoa ensure you are on the right path, avoid problematic shortcomings of the business transfer arena, and leave the closing table with the most money possible.