Selling your business or company is one of the biggest decisions you may ever make. Perhaps you are approaching retirement age or have earned enough in your successful business to retire early and explore the world.
Whatever your reason, selling a company in Gilbert or another Arizona community is not as simple as you might think. As a commercial transaction, it is vital to do all you can to protect your interests.
How can you simplify the process?
Preparation is crucial when you want to sell a business. Without it, you will likely find yourself laboring throughout the entire process. When you struggle, you leave yourself vulnerable to an unfair purchase price. It might be beneficial to begin your preparations by gathering the necessary documentation.
Here are some suggestions on what you might need.
- Profit and loss statements for three years
- Lease document copies (if you lease your building)
- Franchise agreement copy (if your business is a franchise)
- Federal tax returns for your company
- List of business loans and supporting documents
- Estimates of your current inventory
- Copies of all equipment or machinery lease documents
- List what comes with the business (furniture, fixtures, equipment, etc.)
If you work with financial or other advisors (business advisors, etc.), it is wise to include a list of them when collecting your documentation.
An ideal next step (after gathering your documents) is to learn about Arizona’s business and commercial laws. If you take this step, you have the best chance of remaining compliant with the legal side of selling your company. An experienced advocate can also help you protect your interests when selling your Arizona business.