In Part 1 of this series, we examined how to handle the stream of inquires that you may receive about potentially selling your business. We also discussed how to conduct an introductory call with an inquirer if you decide to investigate a specific opportunity, including important mistakes to avoid and information you should gather.
This is Part 2 of a three-part article series. In Part 1 of this series, we examined how to handle the stream of inquires that you may receive about potentially selling your business. We also discussed how to conduct an introductory call with a inquirer if you decide to investigate that opportunity, including important mistakes to avoid and information you should gather. Finally, we left off with asking the potential buyer to send a non-disclosure agreement (NDA) if you wish to continue the discussion with that party. From this point, let’s look at the next steps.
If you are like most business owners, you probably receive a regular flow of emails and phone calls seemingly offering to buy your company. Private equity (PE) firms and strategic buyers are sitting on record amounts of cash and must make acquisitions to hit their business objectives. Everyone is waiting for the flood of baby-boomer business owners selling their companies, but it never seems to come. As a result, there is too much money chasing too few acquisition opportunities. While this is generally a good thing for business owners, a stream of unsolicited offers or inquiries can grow into an unwelcome time sink if not handled correctly. Also, if you are not careful in how you respond to these offers, you can harm your company by potentially sharing sensitive information with a competitor or sparking rumors that your company is on the market. So, what steps should you take when you receive an unsolicited offer?
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To help our clients and other business owners and leaders respond to the unprecedented leadership disruptions caused by the coronavirus (COVID-19) outbreak, the team at NAVIX offers the following crisis management information series.
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