Seller FAQ

Interested in getting answers to your most important questions about the selling process? Our professionals have the answers you need. Here are our responses to various questions we often receive from our clients.

How Can I Keep My Employees, Customers, and Vendors From Knowing About My Decision to Sell?

Transworld of Atlanta-North’s business advisors are adamant about confidentiality. We understand it’s a vital issue for both you and our team. We take precautions to ensure all your information and decisions are kept private from your employees, customers, or vendors. It’s how we go the extra mile to keep your sales successful.

Do I Need An Attorney And An Accountant to Sell A Company?

Buying or selling a company can be a complicated venture. While some companies are sold without the help of accountants and attorneys, we strongly recommend that both the buyer and seller engage professionals.

How Do I Determine What My Business is Worth?
Another crucial function of the business intermediary is determining the value or worth of your business. It’s up to “The Market” to make this determination of value. Transworld of Atlanta-North’s business advisors have years of experience valuing almost any business. We provide this service for a free although our estimates of value are not “certified business valuations.” In spite of this, we usually give business owners a good idea of how much their business is worth given our experience and access to historical data from similar companies we’ve worked with in the past.
How Much Will Buying a Company Cost Me in the Process?
The sellers usually pay Transworld rather than the buyer, but there are other costs to consider. There are also legal and accounting fees to be aware of before buying a business, not to mention any additional startup costs.
How Long Does It Take to Sell My Company?
On average, you can expect to see your company sell in eight to nine months, although there’s usually a great deal of variation in the time frame. It sounds like a lengthy amount of time, but in reality, so many parts of the selling process take much time whether it’s listing the business itself or writing contracts. Not to mention finding buyers, interviewing buyers, performing due diligence, and getting to the closing process altogether!
I Have a Long Term Lease with My Landlord. Am I Going To Be Able to Transfer That?
In selling transactions, the transfer of the lease is one of the most critical steps. If there’s no transfer set up already, it will be impossible to consummate the deal. In a lease, there is a clause that defines the landlord’s rights pertaining to transfer. Often, the seller will be required to remain as a guarantor of the lease, and there are frequently charges by the landlord for the transfer.
I Keep a Lot of Cash, Inventory, and Receivables in My Business. What Generally Happens to Those Items?
Most small businesses are sold with the seller retaining cash and accounts receivable. A working level of inventory is generally granted to the new owner.
What Records Are You Going to Need From Me Sell My Business?
The lack of good business records is the single most common reason for a business sales deal to fall apart. We can’t emphasize enough the importance of maintaining good books and records before selling. This includes accurate financial statements, cash register receipts or whatever documents are necessary to prove income and expenses. Of course, current tax returns are a must. However, we are used to selling businesses that may have less than adequate records.
What’s Selling My Business Going to Cost Me?
Transworld of Atlanta-North has no upfront fees. We will analyze your company and go through the entire process with no cost to you. Your only obligation is when we find a buyer for your business. We traditionally receive our payment at closing.
I Own the Property Where My Company is Located. Do I Have to Sell That as Well?
This can be handled in many ways. Often the property is sold as a separate listing. However, the company owner will frequently retain the property, obtain a long term lease and earn an ongoing cash flow stream. Also, the property can aid a buyer’s ability to finance the business.
I Owe a Lot of Money for Various Things That My Company Acquired Over the Years. What Happens to That Debt?
Most often, the company is sold free of all debt. This means that the former owner will be responsible for accounts payable as well as all long-term debt.
I’ve Taken A Good Bit Of Cash Out of My Company And Not Recorded It, In Valuing My Business, Do I Get Credit For That?
This is a tricky question to tackle. It’s usually tough to prove to a prospective buyer you’ve earned the income in question that hasn’t been reported. Our suggestion here is if you are not reporting income, stop right now and maintain accurate records including all the income. Work with your accountant if you must to keep the bookkeeping in check. Some businesses sell in spite of this reality.
What Are the Most Important Things That I Can Do to Get My Business Ready to Sell?
We have a list of the ten most important things that you can do to improve your business before selling, and you can review them on our website.
How Far in Advance Should I Start Planning My Exit Strategy?
Today, no later. Even if you think you are not ready to sell your company right now you can’t start preparing too early. One of our experienced agents will be more than happy to meet with you to help you to start thinking about your exit strategy.

Any Other Questions? Call Our Team Today!

Should you have any additional frequently asked questions about buying a company or business brokers, please don’t hesitate to contact Transworld Business Advisors Atlanta-North!

3 Dunwoody Park Suite 103
Atlanta, Georgia 30338
(404) 666-4486
[email protected]