The process of selling a Florida business will depend on several factors, such as how the company is structured, the type of legal entity, the size of the company, and the extent of the company’s operations.
In this article, you will find a full guide with the essentials involved in Florida business sales.
What Do You Need to Sell a Business in Florida? – Key Elements
Determining Your Business Goals
At this stage, consult with an experienced Florida business attorney to determine your business goals. It is essential to avoid short-term decisions that may hinder your long-term goals. During the assessment, make sure to identify:
- Why do you want to sell the company?
- What are your long-term objectives?
- Do you want to retire or move on to a new business enterprise?
- Is your company structure for a change in ownership?
- Will the sales process affect the company’s functionality?
Preparing the Business
The next step is to get the business financials organized and ready for the sales transaction. An expert attorney will help you to:
- Prepare the necessary documents (e.g., financial statements, projections, metrics, etc.)
- Measure the relative size of the business
- Measure the company’s customer base
- Understand the financial position of the business
- Identify any outstanding liabilities
- Structure the transaction to protect your interests
- Find feasible ways to retain strategic employees
- Handle the necessary tax planning
- Work in a detailed plan to upgrade the company for the sale
- Align potential business opportunities with the preset projections
The earlier you prepare the company for the transaction, the more time you will have to make the necessary adjustments.
Identifying How Much the Business is Worth
When valuing the company, a Florida business attorney will help you understand the real-world value of your business in the current landscape.
This process will require an expert strategy involving appraisals, advanced evaluation methods, and comparison with similar businesses sold in the same area. With the numbers in hand, you must determine:
- Whether the transaction will include the business’s assets in whole or part
- Whether family members or specific employees may receive part of the ownership interest in the company
- Will the transaction require you to keep working in the company in the post-sale stage?
- Will the current brand continue to exist as it is?
- What are your financial needs? Will the sale cover them?
Navigating the Business Sales Process
The negotiation process is crucial to ensure a smooth closing, as it will determine the terms by which both parties will conduct the arrangement. Depending on your business goals, you may want to require the signature of a non-disclosure agreement and other restrictive covenants to protect legitimate business interests.
The buyer may require several documents to proceed with due diligence. An expert attorney will conduct the process to make sure you are disclosing the necessary information without exposing the business. To guarantee an adequate closing, make sure to understand:
- How changes inside the business may affect the deal (e.g., departure of strategic employees)
- How regulatory risks may affect the deal
- The legal implications of different exit options
- The tax liabilities involved in the process
Additionally, work with an experienced attorney to draft and review all necessary documentation to prevent unforeseen issues in the future.
Do You Want to Sell a Florida Business? – Contact Attorney Romy B. Jurado Today
Without proper legal guidance, selling a business is an overwhelming task. Immediately contact Attorney Romy B. Jurado by calling (305) 921-0976 or emailing Romy@juradolawfirm.com to schedule a consultation.