COMMERCIAL FINANCE REQUIREMENTS FOR BUYING A BUSINESS
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uying a business for sale in Perth often relies on securing commercial finance and typically involves a series of steps and requirements. SOT business brokers have noted some key factors to consider when applying for finance for the purchase of a business, that may assist in getting the finance application approved.
Author:
Alex Stajka
Managing Director M. 0450 020 552 E. alex.stajka@sotcorporate.com www.sotcorporate.com Alex brings a wealth of knowledge in business brokering and commercial finance having worked for the biggest brokerage in the world as well as a Perth based finance company. He prides himself on his ability to structure deals to suit all parties, resulting in a fantastic deal closing strike rate.
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1. BUSINESS PLAN Prepare a comprehensive business plan that outlines your goals, strategies, financial projections, and how you plan to operate and grow the Perth business for sale.
2. FINANCIAL STATEMENTS Gather financial statements for the business you're buying and
your personal financial records. These statements may include balance sheets, income statements, cash flow statements, and tax returns. SOT’s Perth business brokers will assist any buyer in gathering the financial documents of any business they buy.
3. DUE DILIGENCE Conduct thorough due diligence on the business you intend to purchase. This involves reviewing its financial records, contracts, leases, customer base, assets, liabilities, and any legal or operational issues that may impact its value. SOT business brokers provide all the information that the buyer reasonably requests.
4. VALUATION Determine the value of the
