The whole process begins with an initial conversation to get to know each other. We can connect via phone/Zoom, or we'd love to buy you coffee and chat in person.

It's important to us to have a good rapport with our seller, so the first step is seeing if we'd be a good fit to work together and to learn more about the business.

The next step is collecting some preliminary financial information, such as Profit & Loss statements for the last few years.

Based on the financials and operations of the business, we would make you an offer in the form of an LOI (Letter of Intent).

Once our LOI is accepted, you can expect the rest of the process to take about 30-60 days. During this time we would be during further due diligence and securing SBA financing. We are already pre-qualified and have multiple lenders interested in financing us.

It is completely up to you if you would like to be represented by a business broker.

Technically, you do not need a broker involved in a transaction. When we sold our laundromat, we listed the business and found the buyer ourselves. We did use an M&A attorney to assist us with documentation and transferring funds.

Business brokers typically charge 10% of the total purchase price as their commission and this is paid by the seller.

Business valuation is subjective, and the honest answer is that the value of your business is what someone is able and willing to pay for it.

Factors such as financing options, interest rates, and the size of the business can affect the valuation. Standard practice is to value small businesses based on a multiple of their SDE (Seller's Discretionary Earnings).

Calculating SDE involves taking the annual net income and adding back in certain expenses such as amortization, depreciation, interest, and owner's salary and benefits.

Small businesses are typically valued at 2-4x the annual SDE.

Our goal is to come to an agreed upon purchase price and structure that feels fair to all parties.

There are a lot of private equity firms interested in buying up small businesses. Their aim is usually to increase the bottom line as much as possible, which can involve drastically changing the business and putting an emphasis on profits over people.

We are not private equity. For us, buying a business isn't simply an investment tactic - it's personal. It's a way for us to have a positive impact on our employees, our customers, and our larger community.

We are looking forward to taking a hands on role in our next business.

Preparing to sell your business is an important process. A big component is ensuring that your financials are in order and are easy to understand.

If you've been accurately recording your revenue and expenses, have organized P&Ls, and can provide tax returns that match your financial statements, you're in a good position.

The question then becomes, are you ready to sell your business? If you've never considered selling, then this could be a big jump for you.

We get it. Business is personal. We're here if and when you're interested in having a conversation!