Merger Acquisition & Divestiture Consultants To The Metal Casting Industry


Specialists to the
Metal Casting Industry

Specialists to the Metal Casting Industry

The Folk Group
410 Church St., STE 204
Bangor PA 18013 USA
Ph: +1-215-340-9072

Preparing Your Company for Sale

To maximize the value you receive for your company, you need to prepare it for sale. Depending on what needs to be done, this can take two to three years. If you already have the major items listed below in place, it won't take much to get you there. If you would like us to audit your preparations, give us a call at 1.215.340.9072.

  • Profitability, profitability, profitability. The most important factor in getting the most for your company is a history of profitability.
  • Make sure the company shows well. This is housekeeping and good maintenance. Do the offices and plant look good? Are the equipment, plant and grounds clean and neat?
  • Environmentally clean. The company must meet all current environmental regulations and operating permits need to be complete and current.
  • A strong management team that can function effectively under new ownership.
  • Clean up the balance sheet and income statement. Remove anything that will not transfer to the new ownership.
  • Develop a presentation for potential buyers. In small companies this can be as simple as an overview of the company and financial statements. In large companies a comprehensive book needs to be prepared that can be used by buyers in obtaining financing.
  • Establish an asking price. This is a factor of discounted future income stream. The asking price should be on the high side of realistic.
  • Identify the market for your company. Who would be interested in a company like yours?
  • Approach the market. Contact potential buyers in a confidential manner.
  • Obtain confidentiality agreements.
  • Present the company.
  • Negotiate the sale.