Case Study:
Business DisposalWise Owl was appointed to assist in the sale of a Testing and Inspection business. The founder and majority shareholder was approaching retirement age. He was fully engaged in running the business but recognised that outside assistance would be necessary to enable him to achieve his goal of selling the business before 2020.
This project included preparation of a Prospectus for Sale, agreeing sale parameters and price expectation with the business owner, revaluation of business assets, identification and recruitment of a Manager, preparation of ongoing management financials, meeting with prospective buyers, identifying, instructing and liaising with legal and tax specialists, provision of a Data Room, assisting with sale contract negotiations , answering all the due diligence requirements of the US based Purchaser and it’s US Lawyers.
To minimise time demands on the owner during the process, Wise Owl worked with the admin manager whenever possible, both in house and on line.
A detailed business valuation was undertaken to guide the owner’s price expectations. Due diligence identified a number of potential roadblocks, including issues with the premises lease, absence of statutory records, purchase of minority interests, release of a legacy debenture, and the release of personal guarantees. These were all overcome, in time for the sale contract to be signed, as scheduled.
As the owner was out of the country at that time, he appointed Michael O’Connor as Alternate Director and Power of Attorney to close the transaction.