Ponder each one carefully.
Commitment
Your commitment to purchase a business at price and terms consistent with the marketplace.
Disclosure:
You sign an agreement promising to maintain confidentiality for all the information provided to you on the businesses we discuss.
Pre-Qualification:
You provide us with information about yourself, such as a resume and financial statement. The more we know about you, the more likely we can find a business you will like. The more information we provide to the seller, the better the terms he will consider.
Showing:
We show you the businesses you are interested in and discuss the important factors of each.
Meeting:
A meeting between you, the seller and us may take place. This gives you the chance to ask questions you may have about how the business operates and to describe your qualifications to the seller.
Offer to Purchase:
You write, with our assistance, an offer or letter of intent for the business you like. The offer will include: A. An earnest money deposit of 10% of the down payment to demonstrate your seriousness to the seller. B. Contingencies such as: satisfactory review of books and records, the assignment of a lease that is satisfactory to you, and any other contingency that you would like answered. The offer is not binding until you have removed all contingencies.
Acceptance:
The seller accepts the offer as it is written or writes a counter offer.
Due Diligence:
Purchasers will address any and all contingencies specified in their Offer to Purchase. In most states the lawyer performs a lien search on the business to identify any secured creditors.
Contingency Removal
You remove all contingencies in the Agreement. It is now a binding agreement.
Closing:
A third party attorney will draft an Asset Purchase Agreement for each party legal representative to review. After finalizing the Asset Purchase Agreement, a formal closing will be held
