Buying and selling businesses is usually accompanied with many doubts that bring up questions that need answers and further clarification, both from the buyer and seller.
The buyer asks:
What area is most suited for me?
Is the business I'm about to buy too big in relation to the monetary reserves available to me?
What tools are available that enable me to check the honesty of the seller?
How can I be sure that it is to my best interest to buy at the price asked for by the seller?
Is the business clear of any mortgages, or is there any other unknown information I should know about? (debts, other obligations, etc.)
The seller asks:
What is the true value of the business I'm about to sell?
What price should I ask for, in selling my business?
What guarantees should I ask for to be assured I will be paid in full when selling the business?
How can I check the honesty of the buyer and will he be able to stand up to his obligations ?
These are samples of questions that each one of the parties must ask himself. There is yet another central question . The seller of the business, naturally, after investing his best years, efforts and resources, both financial and emotional, will not have the necessary objectivity. The buyer, on the other hand, does not really know the business, but is interested in buying it. His viewpoint is cold and to the point. Many times, where the parties can and should close the deal, they are not able to do so, because of these differences, and the deal falls through. Would they have had an objective, experienced and knowledgeable third party, the deal would have gone through, to both parties satisfaction, as the Americans call “ a win win situation”.
At “Kaduri Enterprises” we do not suffice with meetings between buyer and seller. Our policy is to expand on the basic necessary information to close the deal, answer all questions, and eliminate to a minimum, all unknowns. All this to institute the closing of the deal to a successful end, satisfactory to both parties.