Business for Sale - Gold Coast

Business for Sale - Gold Coast
  • Jul 15, 2019

Business for Sale - Gold Coast

Selling a business can be a daunting and exhausting experience. Most business owners do not have the time or energy required to prepare a business for sale and then find the ideal buyer willing to pay the appropriate price.
The time it takes to sell a business once it is on the market will vary depending on the complexity of the business and the industry.  Normally, if all the relevant information is available to buyers and the business is priced relative to the market for that type of business, a sale should be concluded within 3-6 months.
Buyers want to know what is currently happening in the business, along with any existing or future trends, so it is vital that you prepare up-to-date financial information such as:

  1. Profit and Loss accounts from the previous 2 to 4 years.
  2. Identify and quantify abnormal and/or non-recurring costs in accounts.
  3. Identify all items of personal and drawings nature.
  4. Copies of internal accounting reports for year to date and/or GST returns if available.
  5. Copy of the Lease.
  6. Brochures or information on your product or service.
  7. Background on the business.
  8. Staff details.
  9. List of plant and equipment and any equipment leases.
  10. Copy of franchise agreement if a franchise business.

Make sure the financial information is current and accurate before putting your business on the market.

The Role of a Bookkeeper

A bookkeeper records the financial transactions of a business in bookkeeping software (such as MYOB, QuickBooks or Xero), on spreadsheets or in databases. Other duties may include arranging payment of accounts, preparing and sending invoices and receipts to debtors, processing payrolls and maintaining employee records.

In a addition to permanent ongoing or periodic 'catch up' work for a business, a qualified Bookkeeper can offer invaluable assistance to owners during preparations for the sale of a business.

Prior to beginning the process of selling a business, a bookkeeper can prepare budgetary forecasts; cash flow management reports and forecasts; balance and profit/loss sheets; and ensure the business is BAS/ATO compliant.

Bookkeeper Gold Coast

Cloud 9 Bookkeeping + Strategy is a bookkeeping and accounting business based on the Gold Coast.  Cloud 9's practice is focused on using the latest cloud technologies to deliver the highest quality services at affordable fixed-price rates for Gold Coast clients and clients in other locations throughout Australia.

Jeannie Cloud 9 Bookkeeping

Jeannie, founder of Cloud 9 Bookkeeping + Strategy, has been working in Business (Finance and Operations) for over 20 years. She spent 10 years assisting an iconic Electrical Retail Business to grow from 10 million dollars to 100 million dollars before its successful acquisition by a public company. Jeannie is a registered tax agent and a qualified trainer and assessor.

Cloud 9 provides the following services:

  • Ongoing Bookkeeping
  • Catch-Up Bookkeeping
  • BAS & ATO Compliance
  • Staff Training
  • Software Set Up & Advice
  • Payroll Solutions & Services
  • Accounts Receivable
  • Accounts Payable
  • Debtor Management
  • Financial Reporting - profit/loss & balance sheets
  • Cash Flow Management - reports & forecasts
  • Budgetary Forecasts

A skilled Bookkeeper can assist in your initial preparation towards achieving the maximum value from the sale of your business. Preparations can take as little as 4 weeks or as long as a year, however, it is well worth the time and money for the value that will be added to the final sale price.

Selling Your Business

It is possible to sell a business without a broker, just as it is possible to sue someone without the help of a lawyer. Although a broker is not always necessary, there are instances when a broker may be useful and other times when you can manage a sale without the help of a broker.

Before conducting the sale of your business on your own, there are three questions you should ask yourself:

1. Do I have the time to sell my own business?

It can be very time consuming to conduct a business sale and extremely difficult to do it properly if you are trying to run a business at the same time. You could be dealing with 10's or 100's of initial enquiries by phone and email which you the need to qualify into real potential buyers or people who are just curious or competitors.

2. Am I the right person to sell my business?

You probably know your business better than anyone else but that doesn't mean you're the best person to sell it. Dealing with potential buyers requires the ability to look at the business from their perspective and to look at the business sale with an objective eye in order to understand what is a real barrier to the sale proceeding and what isn't.

3. Do I have the tools and resources I need?

You can pay for an advert on a well trafficked "Business for Sale" website and you will start getting calls. The real challenge is whether any of these calls will be genuine potential buyers.
However, it may be less expensive and time consuming to advertise through a Broker who should have access to multiple channels of communication with potential buyers, such as:

  • Buyer profiling to make sure the ads target the right buyer (not the most number of enquiries).
  • Bulk Listing to multiple websites.
  • Quality Information Memorandum to reduce the time spent on initial enquiries.
  • Register of Buyers, cross-referenced to their other business sale enquiries.
  • Contract and Offer templates including special condition terms to overcome barriers to the sale.
  • Targeted Mailing Lists.


If your answer to any or all of the 3 questions above is "NO", then you should consider engaging a Business Broker to assist you in selling your business.

The Role of a Business Broker

Business brokers, also called business transfer agents, or intermediaries, assist buyers and sellers of privately held businesses in the buying and selling process.

Business brokers represent the financial interests of their clients in the sale of a business. They act as a bridge between buyers and sellers, guiding the sale process and facilitating the settlement terms for both parties. They may choose to specialise in a particular industry. Daily duties can include acting as an intermediary between both parties, evaluating businesses and assets, overseeing financial transactions, searching on behalf of buyers and managing business deals.

Business brokers need to have good communication and interpersonal skills. They need sensitivity and empathy and the ability to understand the aims of buyers and sellers. They should have insight into how businesses generate and maintain income streams and be able to accurately value businesses, perform market analysis and financial security checks. Professional discretion and prudence are also essential.

A business broker is essentially a deal maker between the buyers and sellers of businesses. They generally represent the seller of a business, but can also represent buyers, both parties, or act as neutral intermediaries. Their goal is to make the selling process as easy and rewarding as possible for their client. Specifically, they handle every aspect of the sale, including:

  • Finding business owners trying to sell.
  • Estimating the fair market value of the business.
  • Creating a sale listing and advertise the sale.
  • Identifying and investigating potential buyers.
  • Negotiating a purchase deal.
  • Making sure that the buyer acquires proper funding.
  • Other duties and legal mattes required to close a sale.

Most business brokers charge at least eight to twelve percent of the selling price for achieving a transaction and there is also usually a minimum fee, often between eight and fifteen thousand dollars, for conducting the sale process.

Look for a business for sale Gold Coast

Business Broker Gold Coast

Business Brokers in Queensland and NSW require a licence. To become a business agent/broker the individual needs to have successfully completed Certificate IV in Property Services (Business Broking) in NSW or the equivalent in Queensland. The Office of Fair Trading in each State will asses if the person is fit and proper, has not been disqualified, is over 18 years of age, has paid the due fees and completed the necessary studies before a license is issued.

All business brokers need to continually undergo yearly professional development (CPD) so their license can be renewed to ensure they are up to date with the latest legislation and rules.

Troy Potter is the Director of Insight Business Sales - Business Broker Gold Coast based. As well as being a Licensed Business Agent, Troy also holds a full Real Estate license and formal business management and engineering qualifications. Licence: 20088946

Insight Business Sales provide a specialised, start to finish business brokerage service. From the initial consultation, they work with their clients on a structured preparation and appraisal process, educating the owner on the business sales process and helping them to achieve maximum value from a business sale. Insight's particular region of expert local knowledge extends from the Gold Coast in South East Queensland down to Coffs Harbour in Northern NSW.

With a broad network of professional business brokers across Australia and overseas, Insight can help or refer most business sellers to a specialist in their area.

Insight Business Sale' customised marketing strategy will identify potential buyer profiles and target advertising to those business buyers. A strict confidentiality process is maintained while qualifying buyers, followed by establishing which buyers are most likely to proceed to full acquisition.

Most business owners want the sale of their business handled confidentially (for commercial reasons they don't want their competitors and suppliers to know they are selling).

Troy Potter Insight Business Sales

Once again this is the advantage of using a specialist business broker. Insight works with potential buyers through the various stages and the seller only meets with buyers at the final stages of the process. This leaves the business owner free to get on with business and keeps potential buyers away from unnecessary calls or visits to the business premises or owner's workplace.

Insight prepares a comprehensive marketing plan for a business, incorporating notes on how to present the business; preparing a detailed Information Memorandum and advertising schedule; and planning website and database marketing strategies. In many cases, buyers are found from Insight's existing database of qualified buyers. If confidentiality is required, any advertising is of a generic nature and never identifies the particular business.

Also note that the buyer of a business may not have even been actively looking to purchase a business. Buying a business can be an unsettling time for the business owner, staff, stakeholders and clients. Therefore, soft marketing, discretion and confidential approaches to competitors, staff and key industry players should be a serious consideration in a business sale marketing mix. If in doubt, a non-disclosure agreement can be requested.

Medical Practise

Businesses in Demand

Insight Business Sales has a qualified list of buyers waiting to review opportunities in specific industries as they come up for sale. The following business types are a small sample of those currently in high demand:

Healthcare - medical practices; skincare products; B2B Services
Financial Services - money lenders; accountancy firms
RTO's and Education - Cricos registered; early childhood
ICT Voice and Data - managed services; website hosting

In the article Best Industries to Exit in 2019 Troy looks at industries that are on a high cycle and make them candidates for good exit prices.

Seven Steps to Selling Your Business

Try following these seven basic steps in your quest to successfully sell your business with the assistance of a Bookkeeper and a Business Broker:

  1. Determine the value of your company.
  2. Clean up your small business financials.
  3. Prepare your exit strategy in advance.
  4. Boost your sales.
  5. Engage a Business Broker.
  6. Pre-qualify your buyers.
  7. Get business contracts in order.

And don't forget to look after your employees.
 
Courtesy: Cloud 9 Bookkeeping


Researched, compiled, composed and written by Dr Steven Gration - July 2019

Other Articles

Oct 9, 2019 SEO Tools for Leverage
Sep 5, 2019 Is Your Home Killing You or just making you sick?
Aug 28, 2019 Anxiety as a Contagion
Aug 22, 2019 HAPPINESS - Why Should We Believe Hilda?
Aug 12, 2019 What Communication Style Do You Use?
Aug 7, 2019 Telling your story
Jul 9, 2019 NDIS Support Coordination
Jun 18, 2019 Counselling De-Mystifying the Psycho in Therapy
Jun 7, 2019 Is that car oil leak serious?
Jun 6, 2019 How does NDIS pricing work?
May 14, 2019 INSPECTIONS Buildings, Pests and Electrical
Mar 15, 2019 Memorial Stationary
Mar 5, 2019 The Renewable Energy Race
Feb 14, 2019 PDF - Perfect Document Format
Feb 11, 2019 Climate Change, Power and Politics
Jan 31, 2019 Built to Rent
Jan 14, 2019 Swimming Pool Dreaming
Jan 8, 2019 The Moving Story of Max & Co.
Dec 31, 2018 Finding your core
Oct 9, 2018 Anatomy of a local Google Search
Sep 19, 2018 A French Affair and Dangerous Liaisons
Sep 17, 2018 Break-even Analysis for Bookkeeping
Aug 23, 2018 Recycled Timber Architecture Features
Aug 9, 2018 The Un-natural Art of the Wheel
Aug 3, 2018 How much should you spend on a website?
Jul 24, 2018 A Brief History of Kimono and Obi
Jul 11, 2018 Southport Mechanic
Jul 11, 2018 What do we mean by home automation?
Jun 6, 2018 Seeing Red over Cola
Jun 4, 2018 TERMITES - PLAYING THE GAME
May 28, 2018 Why a Multi-Skilled SEO offers better value
May 11, 2018 How does the DREAM turn into a SCREAM?
May 7, 2018 The Alarming History of Geese, Dogs and Bells
Apr 5, 2018 Air Spider
Mar 13, 2018 Planting a hedge fence
Feb 9, 2018 Life Saving Tyre Accessories
Feb 6, 2018 The bakers oven stops
Dec 6, 2017 Relationship Counselling - the volatile couple
Nov 9, 2017 Don't kill the ants
Oct 25, 2017 Plumbing, the Ancient Art of Managing Water
Oct 11, 2017 The Secret Life of Micropiles
Sep 29, 2017 Foundation Underpinning
Sep 8, 2017 Termites the secretive pest
Sep 7, 2017 Sharing your Google Analytics
Sep 5, 2017 Website speed test claims put to the test
Aug 23, 2017 Custom Timber Dining Tables
Jun 23, 2017 Kitchen Renovation Alfresco BBQ
Jun 12, 2017 Hire a photo booth
May 10, 2017 My Site Dropped out of Google
Apr 20, 2017 Recycled Timber comes with a story
Apr 8, 2017 Light Up Your Home
Dec 12, 2016 Evolving eCommerce with SEO
Dec 5, 2016 Image Manager 4 Released
Oct 14, 2016 Classic Gold Coast
Sep 26, 2016 Techheads who can market
Sep 9, 2016 Issues with childhood photography
Aug 30, 2016 Never Make an Impulse Appliance Purchase
Aug 15, 2016 Using the potential of YouTube
Aug 2, 2016 How to add a review to Google Places
Jul 26, 2016 Servicing your air-conditioner
Jul 22, 2016 Eco-friendly Home Building
Jun 13, 2016 Timber Floors
May 13, 2016 Timber Furniture Gold Coast
Apr 13, 2016 Interactive Charts
Feb 18, 2016 Ideas for creating passive income
Jan 29, 2016 Better Childhood Photography
Dec 30, 2015 Gold Coast Real Estate
Nov 20, 2015 Feed-in Solar Tariffs Queensland
Nov 5, 2015 Kindergarten Photographers
Sep 23, 2015 Low Budget High Impact Web Videos
Sep 8, 2015 Pool Inspection Laws Queensland
Jul 23, 2015 Protection against power surges
Jul 13, 2015 Intelligent Security Systems
Jun 17, 2015 Advanced Security Cameras
Jan 15, 2015 Is your security provider licensed?
Jan 6, 2015 Inspired by Necessity
Dec 7, 2014 Social Media vs SEO for sales generation
Nov 1, 2014 Responsive Websites vs a Mobile version
Sep 8, 2014 Simplify Writing - Get that job
Apr 8, 2014 Cockroaches like BBQs too
Mar 27, 2014 Admin System Mark 3
Feb 12, 2014 HTML5 improving SEO and Social Interaction
Jan 17, 2014 TV Commercials with impact - on time
Dec 2, 2013 Negative SEO
Nov 29, 2013 A flexible e-mail system
Nov 13, 2013 Social Media Strategies for SEO
Oct 15, 2013 Web Video Production
Sep 26, 2013 Soft drinks can damage your teeth?
Aug 29, 2013 Haridresser Gold Coast
Aug 26, 2013 Jet Boat Ride Gold Coast
Aug 6, 2013 Dental Site Videos
Aug 3, 2013 Gold Coast Tradesman Directory
Jul 2, 2013 Creating audio for your site via your iPhone
Apr 23, 2013 Yellow Pages Google Partnership Unfair
Aug 17, 2012 Facebook Account Security
Jul 6, 2012 Gold Coast a great place to Study
Dec 22, 2011 New Real Estate System
Oct 17, 2011 Managing your domains a quick guide
Apr 4, 2011 Our Facebook Application
Feb 1, 2011 Video Marketing
Jan 5, 2011 Questions to ask your web developer
Dec 28, 2010 Surfboard for sale site launched
Dec 28, 2010 Health and Fitness sites
Dec 9, 2010 Why is my content management system so slow?
Nov 26, 2010 Google now includes local places results
Oct 31, 2010 Getting Listed on Google Places very important
Oct 19, 2010 Security Systems site launched
Sep 28, 2010 Google Personalized Searches
Sep 13, 2010 Web Marketing To Green or Not to Green? Beware!
Sep 9, 2010 Jet ski or Jet boat Gold Coast
Jul 19, 2010 Java Web Hosting
Jul 7, 2010 Assess your eCommerce opportunities
Jun 11, 2010 DIY SEO
May 26, 2010 Planning a website
Apr 22, 2010 Enhanced Email Marketing Tool for your website
Apr 12, 2010 Site Speed is important for Google
Mar 26, 2010 360 degree Panoramas + Google Maps

A Gold Coast SEO and Web Developer