Loading...
Questions
Questions about Mergers & Acquisitions
Plain answers to common questions on this service, grouped by what you are trying to find out. Each answer starts with the direct reply.
Basics
- What is an information memorandum in a business sale?An information memorandum is the detailed document a seller gives serious buyers. See what it holds, when it is shared and how to keep it accurate.
- What is a data room and what goes into it?Learn what a data room is, which documents a buyer expects inside it, and how to organise and release them in stages without exposing too much early.
- What is normalised EBITDA when valuing a small business?Learn how adjusting reported earnings for one-offs and owner-specific items gives buyers a cleaner view of true profit, and which adjustments they accept.
- What is a share purchase agreement and which clauses matter most to a seller?Understand the main contract in a share sale and the clauses that decide how much of your price you keep, how much risk you carry and when you are free.
- What is a non-compete clause and how far can it bind a selling promoter?Learn what a non-compete restricts after a business sale, which limits of time, area and activity tend to be reasonable, and how to negotiate it sensibly.
Process
- How should I clean up my books before inviting buyers?Practical steps to put accounts, tax records and related-party entries in order before buyers see them, so diligence supports your price instead of cutting it.
- How do I decide the right time to sell my business?A practical way to weigh business momentum, market conditions, personal readiness and preparation time, so you choose when to sell rather than being forced.
- How can I tell a serious buyer from a casual enquirer?Learn the practical signals that separate genuine buyers from curious enquirers, and how staged disclosure screens interest without exposing your business.
Risks & problems
- What happens to existing employees when a business is acquired?See how a share sale and an asset or undertaking transfer treat employees differently, which dues and risks matter, and how to manage staff concerns.
- Will my personal guarantees to lenders end when the business is sold?Selling the business does not by itself release your personal guarantees. See how to get a written release or full repayment as part of the deal.
Share a few details about your situation and our team will follow up.
Read about Mergers & Acquisitions