Assess credibility
A buyer’s transaction history, decision authority, financing, diligence approach, and reputation matter. A strong proposal has limited value if the buyer cannot approve, finance, or complete it.
Understand the operating plan
Owners should ask what will happen to employees, facilities, customers, the brand, and management after closing. Those answers may affect value and can be central to the owner’s legacy.
Consider behavior under pressure
Transactions create difficult moments. The way a buyer handles early questions, confidentiality, and negotiation often indicates how it will behave when diligence becomes complicated.
Questions for Owners
Questions worth considering
- Who controls the final decision?
- How will the buyer finance the transaction?
- Does the buyer’s operating plan align with the owner’s nonfinancial priorities?