Keeping the potential sale of your business confidential is extremely important for several reasons. If your customers find out, they may switch their account to your competition thinking that a new owner would not provide the same level of service or quality they are used to at your company. Your employees may be concerned that their jobs are not secure and perhaps look for employment elsewhere, maybe even with your competitors. Vendors may try to change your pricing structure because they might think that you are no longer a dependable customer. And if your competition finds out that your business is for sale, they will likely make that known to the public – including your customers – seeing the potential sale as an opportunity to take some of your market share.
The result could be a decrease in your company’s value, a reduction in sales, and a disruption in operations.
At the same time, you want to get the word out to as many potential buyers as possible that your business is for sale. The answer to keeping the potential sale of your business confidential and market it at the same time is to enlist the services of a quality business broker.
One of the important documents in your business broker’s toolkit will be a confidentiality agreement (non-disclosure agreement) – a document that you would ask any potential buyer to sign before revealing information about your business. The intention is to protect your proprietary, operational and financial information should a sale not result from your interaction with a prospective buyer.
The agreement is a legal contract between at least two parties that specifically details confidential material, knowledge, or information that the parties wish to share with one another, but wish to restrict access to or by third parties. In signing it, both parties agree not to disclose information covered by the agreement. There is always an expiration date but this is typically over a year in advance.
Your business broker should be able to confidentially network the sale of your business worldwide, using the latest technology to present your company to other business brokers and strategic buyers.
When you partner with Transworld Business Advisors UK, you have experienced industry professionals selling your company and your confidentiality is always respected. We have an aggressive marketing program that provides optimum exposure for your business, comprising listings in industry databases, Internet sites, and media.
Transworld Business Advisors is the business broker who can provide the confidentiality you need and the marketing that leads to a successful sale of your business. We have been successfully selling businesses and commercial real estate for more than 35 years. Contact us and let’s talk about how we can help you reach your business goals.