• The Buyer and Seller will be on a good footing for a good post-sale relationship One of the commonly understood statistics is that somewhere around 75% of small business transactions do not make it from Heads of Terms (where the Buyer and Seller agree on the commercials) to the closing table. Following that, 50% of the deals that do close don't deliver the value expected 2 years on which can mean everything from not exceeding expectations to liquidation. The cost of these failures in terms of time and money can be significant for the Buyer. Another misconception is that once a Seller is found, a transaction can be completed in a short time scale like a month or two. For people who are inexperienced, this is wishful thinking…there are so many moving parts to the process and just the legal side can drag on for months if not properly managed. To put the cost of this delay in context, if you are buying a business with say £520K in after-tax profit…this would mean that every week a transaction is delayed costs you £10K in lost income! Many people don't understand this and try to cut costs by not getting good advisors and the right systems, only to have this turned upside down with delays running into months. However, buying a small business can also be very rewarding when it works. There is no better (legal) return on investment when the model is working. Also, owning a business gives a new Buyer a channel for expression and a vehicle for serving the community…as well as building wealth for them and their family. So in most cases, it is well worth the effort and both Buyer and Seller win I have spent over 10,000 hours running transactions and closed over 50 deals and been involved with over 100. Or, the way it feels is 10,000 hours of mistakes and learning from those mistakes. So I know deals can be closed and we can run a process that is
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