The thought of selling your childcare business can be quite daunting, especially if you have never done it before. In this article, we break down the process of selling your childcare business through a business broker, understanding your requirements when selling and outline the stages necessary to facilitate a successful sale.
Meeting your Requirements
Every client has different demands when looking to sell their business. A professional business broker will work with sellers who have exact and specific requirements. Redwoods Dowling Kerr maintain close relationships with buyers from across the globe and our experienced negotiators are available to discuss specific projects and propose bespoke solutions to meet any demands set out by our clients.
Instruct a Childcare Broker Specialist
It’s essential that you reach out to a sector specific broker to attract high-value interest. Brokers working in the childcare industry are experts and they know what’s required to prepare your business for sale. Here at Redwoods Dowling Kerr, we are the UK’s leading childcare broker and have over 40 years’ experience offering bespoke services to match the demands of our clients. We will work with you to fully understand all your requirements so we can match them with our bespoke service offering.
Marketing Materials
Once you have instructed your broker, it’s time to paint a picture of your childcare business. To present your company in its strongest format, you will need to provide every ounce of detail your broker requires from you to produce high-quality marketing materials. These documents are crucial in the process and the key ingredient in generating interest of potential buyers. At Redwoods Dowling Kerr, we have an information request booklet designed to guide our clients through the type of information required to produce a strong marketing campaign.
Research
After you are happy with the marketing materials produced, the next stage is researching potential buyers. Your broker will begin the research process and they will have a proven background of establishing a well-structured research list that will target realistic credible funded buyers who will have a genuine interest and the capability of providing a strong offer.
Negotiations
You’ve created excellent marketing materials; your broker has produced a unique research list and now you have received several offers for your childcare business. Your broker will talk you through each offer and give you expert advice on which buyer has presented the best deal for you. The final decision on which deal to take will always be with you.
Due Diligence
This is perhaps the most important stage of the process. It is paramount that you gather all the essential paperwork that buyers want to see in advance. Due diligence is a comprehensive process and typically involves an examination of the legal structure of the business including its position regarding property, assets, staff and will flag up any potential litigation against your business. It’s unlikely you will find a buyer who won’t conduct due diligence on your business, therefore, you need to prepare for this inevitable process.
Completion
Once your asking price has been agreed and the buyer is happy with the due diligence, you can move onto the completion stage. Your broker will continue to support you by establishing a completion timetable, which will identify key actions that need to be finalised for the deal to be completed successfully.
If you would like to speak to us regarding the sales process of your childcare business, please call 01772 775 759.
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