The Significance of Confidentiality in Business Sales
- Author Jessica Fialkovich
- Published June 26, 2019
- Word count 403
Each time we connect with a business owner thinking about the sale of their business, we are met with big concerns over confidentiality. The business owner does not want their competitors to know, or they don’t want their employees to know; the list of reasons in favor of confidentiality is lengthy and we don’t disagree with their importance.
It is crucial to keep the pending sale of a business confidential until after the trade is completed for a number of reasons. One important reason is we don’t want employees to jump ship. Many people are only exposed to the massive mergers & acquisitions we hear about on the news, like Facebook acquiring Instagram. And oftentimes, these news stories focus on descriptions of restructuring and employees getting laid off. With this kind of information as a reference point, it is no wonder most people think a business sale will have negative consequences.
So when we work with a seller we make sure to outline the main ways we control the confidentiality of a business sale, all of which are built into our processes. First, of course, the business broker is held to the standards of a non-disclosure agreement with the seller. Second, the business is marketed through blind ads, which describe the business without giving away any identifying characteristics. So instead of showing the business name, like "Stephen’s Cupcakes", the business may be titled "Specialty Bakery in Littleton, CO."
The next layer of protection is controlling the professionals who get to learn more about a business. After a business buyer inquires on a business listing they have to sign an NDA and then they are given a curated executive summary of the business to learn more. At this time a Business Broker will pre-qualify the buyer’s financial capabilities and skill set. If the buyer is still interested after being pre-qualified, they get to meet in person with the business broker. It is not until after this first meeting that they will have a chance to meet the seller in person or take a tour of the business.
As you can tell, there are a number of checkpoints throughout the sales process that make sure that valuable business information is only exposed to qualified and truly interested buyers. To learn more about how Transworld manages confidentiality during the business sale process, we invite you to visit our website for more information.
Jessica Fialkovich operates as Transworld's President, overseeing strategic planning, marketing, and support services for the company. After over a decade of buying, building and selling successful businesses in the wine & spirits and retail industries in both Colorado and Florida, Jessica established Transworld Business Advisors of Colorado to employ her passion and experience in business by guiding others in their entrepreneurial quests.
Article source: https://articlebiz.comRate article
Article comments
There are no posted comments.
Related articles
- Fintechzoom IBM Stock: Powerful!
- Building a Professional Website on a Budget: Using Free Tools like WordPress and AI
- Navigating Vietnam's Tourist Immigration: Challenges and Solutions
- Bitcoin FintechZoom
- Google SEO Updates 2024 Jackyan
- Cost-Effective Gardening: Tips for Enhancing Your Garden on a Budget
- Steve Wozniak: WOZ
- Keeping Your Garage Door Running Smoothly: A Guide to Drum Replacement with GarageDoorMagnolia
- When Your Garage Door Goes Rogue: Off-Track Repair in Tacoma and Seattle
- Same Day Service? Kiki Garage Door Repairs Your Garage Door Fast in Sammamish, WA
- Cost-Effective Strategies for Business Owners in 2024: Maintaining Efficiency Without Reducing Staff
- Navigating Compliance for Personal and Professional Contributions
- Smart Savings: The Benefits of Buying Out of Season
- Youtube To MP3 Converter -- Free
- The Benefits of Outdoor Training
- A Fashionable, Artistic, and Modern Adventure: Three Days in Paris
- Why buy stock footage on mediaCastpro? Here are the benefits.
- GoPDF An Online PDF Editor Releases Mobiles Apps Compatible with iOS & Android: A Faster Solution for PDF Editing
- The Best AI Logo Generators in 2024
- How to prepare for a house clearance, a few tips from experts
- Adapting to Rising Parcel Rates in 2024 with Business Central and Order Ship Express
- Not All LED Lights Are Created Equal
- Zoviz Launches New Solutions Day by Day to Users as An AI Logo Maker
- Campervan Maintenance: All You Need to Know
- Fighting the Silent Epidemic: Safeguard Your Child's Future with Vitamin D Screening at KinderCure | Dr. Garima Mengi
- 5 Inspiring Stories of Women Who Achieved Gorgeous Lashes with Careprost Eye Drops
- Is Your Finance Strategy Ready for ERP Software?
- A Beginner's Guide to Starting a Career in Web3
- The Vital Role Of The Courier Industry: Connecting People, Businesses, And Communities
- Learning From Successes And Setbacks: The Importance Of Post-Bid Analysis In Professional Bid Writing