Any advice at all is most appreciated
Don’t trust a business broker, if you use one. Don’t trust them at all. If you use one, get a contract, limit their time to sell your business, and move on if you are the least bit unhappy about the way they are using your financial information or handling the sale.
And especially, if they offer to “swap” a business with you, or get you involved in a limited partnership or any other “investment”, FIRE THEM AND RUN AS FAST AS YOU CAN!
I assume you will have a gain on the sale. In that case, you would want to sell the stock rather than the company’s assets. This will get you a capital gain which will be taxed at a beneficial rate. Of course, Obama has set his sights on changing this preferential rate on capital gains so you may not get the benefit.
Do you know how much the company is worth? you may need an appraisal. You will also need a good tax accountant and a lawyer. Good luck. This can be complicated.
I was a very successful business broker for many years . Unfortunately many people with only residential or commercial real estate experience think they can sell business , It is very different. Look for references, check their ads and how they would market your business. It is important they have a good inventory; about 70 % of my buyers called about a very different business than they bought. You must have trust with your broker so be careful before you sign a contract Please feel free to mail me, if I can be of help .
If you decide to consult an attorney (not a bad idea, imo) and dont know of any, call the Conn. Bar Association Referral service, describe your situation, and they can give you a referral from the list of attorneys they have on file.
here is their website:
http://www.ctbar.org/article/view/291
Know your P&L, EBITDA and industry multiples. A broker can market the business for you, or you can just get a lawyer for the transaction if you market it yourself. Brokers don’t add a lot of value unless they have a deep database of motivated investors.