Define what the buyer receives on day one
A headline price can hide a large operating cash requirement. List inventory, receivables, deposits, prepaid expenses and payables before assuming both sides mean the same thing.
Many small asset sales start with cash and debt staying with the seller, but terms vary. Write down exclusions and inclusions instead of relying on a phrase such as business as usual.
Model the first operating cycle
The buyer may pay staff and suppliers before customers pay invoices. Use a monthly cash forecast to identify seasonal lows and the cushion required to keep serving customers.
If the lender expects cash to remain in the business, ask how that changes your net proceeds. Cash left behind can reduce the practical value of an offer.
Set a method for the closing adjustment
Agree definitions, the measurement date and how disputes will be resolved. A vague promise to work it out after closing leaves room for a second negotiation.
Have the CPA and attorney review the schedule together. Accounting labels, customer obligations and purchase contract wording need to describe the same transfer.
Keep the sale preparations connected
Discuss the company you have built
Use the form above to request a valuation conversation, or call (702) 555-0149.