Our advice on transfers

Tip 1: Preparation, preparation and more preparation

Before entering the operational phase of a business transfer, ensure you have a clear understanding of the motivations and objectives of the operation. Conduct a financial and personal diagnosis to prepare for the consequences of the sale. Avoid rushing the process, as haste can lead to mistrust from potential buyers and advisors.

Tip 2: Seek professional assistance

Maintain confidentiality and avoid direct negotiations with buyers and their advisors. Enlist a seller’s advisor to represent you and provide guidance in technical negotiations. A professional firm can screen buyers and assess their credentials.

Tip 3: Work with one service provider

Rather than involving multiple firms, focus on one service provider with a rigorous methodology for transferring a company. Choose a firm with an international dimension and powerful logistics to promote your case nationally or internationally.

Tip 4: Consider alternatives to family succession

Family succession may seem like the most logical option, but it’s important to evaluate whether it’s the best solution. Assess your children’s capabilities and aspirations, and consider other potentially more advantageous solutions for the transfer.

Tip 5: Involve key employees

Ensure that your second-in-command is on board and ready to support the new boss during the transfer. Addressing the issue of succession openly can help mitigate potential misunderstandings and complications.

Tip 6: Exercise caution with agreements

Never sign a letter of intent, exclusivity agreement, promise, sales contract, or liability guarantee without consulting an advisor. Seek the assistance of tax experts and lawyers to help you navigate potential risks.

Tip 7: Prioritize confidentiality

Maintain confidentiality throughout the transfer process to avoid potential negative impacts on your business. Refrain from making premature announcements and remember that the transaction is only complete once the payment has been made.

Tip 8: Focus on net value, not just price

While selling on the best terms is important, consider the net amount you’ll receive after tax and deductions. Keep in mind that buyers’ guarantees often depend on your financial requirements.

Tip 9: Plan for a smooth transition

Be prepared to assist in the company’s management transition to ensure a successful transfer. Secure the confidence of employees, managers, customers, and suppliers. Don’t forget to make financial arrangements to avoid surprises after the sale.

Tip 10: Prepare for life after the sale

Acknowledge the change in status after selling or transferring your business. Plan for your transition, whether you’re retiring or pursuing a new venture, and be prepared for the emotional and practical aspects of the change.