STEPS AND TIMELINE FOR A REMOTELY EXECUTED BUSINESS TRANSACTION

Selling a business is a major milestone, and having a clear roadmap can make all the difference. With years of experience in M&A, I’ve guided many business owners through smooth, successful exits. If your business is valued between $1M–$100M, expect the process to take 3 to 9 months. Here’s what to anticipate:

1. Preparation (2–6 weeks)
The first step is getting organized. Assemble a team of experts—M&A advisors, attorneys, and financial specialists—to help navigate the complexities. You’ll need to compile key business documents, including financial statements, tax returns, contracts, intellectual property records, and operational reports. The stronger your documentation, the more attractive your business will be to buyers. We also conduct a preliminary valuation to help you understand your company’s worth and identify potential areas for improvement before going to market. Additionally, preparing a growth strategy and identifying key value drivers can significantly enhance your company’s appeal.

2. Initial Outreach & Buyer Interest (4–8 weeks)
Once everything is in place, we begin discreetly reaching out to potential buyers. This involves securing NDAs to protect sensitive information and providing them with a business profile or confidential information memorandum (CIM). This document highlights critical aspects of your business, including financial performance, customer base, operational processes, and growth potential. Serious buyers will want to meet with you, ask questions, and evaluate your company’s potential. If interested, they submit Indications of Interest (IOIs), which outline preliminary offers, deal structures, and proposed terms. This stage helps filter out buyers who aren’t a strong fit and ensures only motivated and financially capable parties move forward.

3. Due Diligence & Letter of Intent (4–8 weeks)
After reviewing IOIs, we narrow down the best candidates and negotiate a Letter of Intent (LOI). The LOI serves as a formal (but non-binding) agreement that lays out the basic terms of the deal, including price, payment structure, and exclusivity periods. Once the LOI is signed, the due diligence process begins—buyers conduct a deep dive into financials, legal matters, customer contracts, operational processes, and risks. This stage often includes interviews with key employees, review of supply chain dependencies, assessment of any outstanding legal liabilities, and an examination of customer concentration risks. Having clean and transparent records helps accelerate this stage and builds buyer confidence.

4. Negotiation & Final Agreements (4–6 weeks)
At this stage, we refine the deal structure to ensure it protects both parties. Negotiations cover payment terms (lump sum vs. earn-outs), escrow arrangements, liabilities, warranties, and post sale commitments such as training or advisory roles. If needed, regulatory approvals are obtained. Legal teams work through the final purchase agreement, addressing any remaining concerns before signing. This phase may also involve tax optimization strategies and structuring the transaction to minimize liabilities while maximizing post-sale proceeds. The goal is to ensure both parties feel confident in the final agreement.

​​​​​​​5. Closing & Transition (2–4 weeks)
Once the purchase agreement is finalized, the deal moves to closing. Ownership is transferred, payments are processed, and necessary transition support begins. Depending on the agreement, this might involve training the new owner, ensuring a smooth handover of operations, or assisting with customer and employee transitions. Proper planning ensures minimal disruption to operations during this period. In many cases, sellers may stay on as consultants for a short period to help integrate the new ownership. Effective communication with employees and customers is also crucial to maintaining business continuity and trust. Total

Timeline: 3–9 months
A successful exit requires careful planning, patience, and the right team. We are here to guide you every step of the way, making sure your business sale is smooth and rewarding. Whether you’re just starting to consider selling or are ready to take the next step, let’s connect and explore your options together