3. How do I sell while maintaining Confidentiality?
The first contact VR M&A makes with the potential buyers for your business is via a blind or anonymous profile of your company. Your location is described in general terms as are the details of your company. Key financials are presented as well as a description of your products and services, along with a short list of growth opportunities. Your company is not identified in the blind profile.

The next piece of information a prospective receives is delivered only after he signs a binding confidentiality agreement. At that point, the buyer receives the marketing Packet (Confidential Descriptive Memo) along with the Proprietary Marketing piece. This Marketing Piece sets VR M&A apart from the rest.

The Proprietary Marketing Piece helps you maintain that confidentiality until the right time.

4. How should I evaluate a business brokerage and M&A firm?
It's critical to closely scrutinize the business brokerage and M&A professionals before engaging them to sell your most valuable asset.

The answers you receive to the following questions are particularly revealing about the quality and integrity of the firm you are considering:

A. Do they have a successful track record? VR has Sold more businesses in North America than Anyone. Just over 90k to date.
B. Can you supply me with references from former clients who can tell me about your firm? VR provides references on our website while trying to maintain their confidentiality, and we will supply former client contact info to serious prospective clients. Our main source of new clients come from previous satisfied M&A clients
C. Can I engage your firm to sell my company without having a valuation done first?

Yes. VR will give you an idea of value before we take on your project to make sure your expectations are realistic. Simply complete our strictly confidential Free Value Assessment form and we will contact you within a few days to discuss value.

5. Why not ask my CPA firm to find a buyer?
While your accountant is an important advisor, he or she will not be an expert in marketing companies, creating a competitive selling atmosphere for your company, or negotiating the most favorable terms on your behalf.

6.How long does it typically take to sell?
One year. In most cases, a competent mergers and acquisitions firm should be able to sell your company successfully within a year.

7. Will a Third Party valuation sell my business at the highest price?
Yes, but is only one tool in the process. You will only know that you have received the best possible offer for your company if you have multiple, simultaneous offers to choose from. Offers result from generating buyer excitement with a Professional eye catching presentation that showcases your company's unique strengths and future promise. These marketing tools enable us to obtain the highest price for your company by creating a competitive bidding process.

8. Do buyers buy private companies based on EBITDA, PE or Price vs. Book Value?
Generally buyers determine a company's prospects on the basis of recent results, growth opportunities, overall company quality, as well as on a multiple of EBITDA common for that industry at the time of sale. PE is not a relevant metric for valuing private companies, and book value is not an accurate reflection of a business' worth in the marketplace.

9. How important is it for a business brokerage and M&A firm to be owned by a brand name public company?
What's important is who is working on selling your company. Is it a recent business school graduate or an experienced deal maker with a track record of success?

10.How often are you not able to find a buyer for a client?
We always find buyers for our seller clients due to three major factors: 1) Our customized, broad-based marketing system which in turn produces a varied group of potential strategic and financial buyers for our clients; and 2) As long as our clients do not have unrealistic value expectations. 3) There are no "surprises" found that minimize trust.

11. What are the most common reasons that a business sell deal doesn't close?
The main reason a transaction is not completed is decreasing or weakening financial performance. If the financial performance of a seller is off materially from the original forecast, the business loses value. Therefore, our emphasis is for sellers to stay on top of their business and to continue to actively grow it as if they'll continue to own it for another couple of years.
The number second reason deals fall apart is surprises popping up in due diligence. We work with both parties to ensure all relevant business issues are disclosed up-front. Surprises lead to lack of trust, and lack of trust kills deals. Please keep in mind that most every issue can be overcome provided that they is full disclosure upfront.

12. Do I also sell the property the company occupies, or would I lease the land and/or buildings to the buyer?
Either way is possible. You may receive offers for just the business with rental income to you, as well as offers to purchase the business along with the real estate. You can choose whichever option you prefer. We often find if real estate is included it is easier to locate a buyer.

13.What is a Delayed Exit or Employee Contract?
Most times businesses that fall within our M&A division, the seller is asked to stay on for a period of time. This is to insure that the business will meet future projections.

We generally see 6-36 months for the current owner to stay on. The former owner's compensation is negotiated based on the buyer's estimate of what would they need to pay someone in the market to replace you.