Selling a business in Utah: everything we do, and what it costs.

Most owners come to us on the way down. Buyers and lenders don't care what the business did at its peak three years ago; they care what it's doing now, and in too many cases now is too late.

Would you invest hundreds of thousands based on success two or three years ago? That's like buying a used car at a new car price. Unlike a car, your business holds its value as long as its integrity is kept. So the best time to sell is at peak performance, before you start easing back.

Not from us. The moment it becomes public knowledge, we can almost guarantee the eulogy can be written: employees start looking, customers drift to someone else, creditors pull credit and competitors do what you'd expect.

Never tell anyone you intend to sell unless you have complete trust in them. Every buyer who approaches us is pre-qualified and committed to confidentiality before a single detail about your business is shared.

It gets harder, not impossible. Tax returns are the only certified, signed record of past performance (usually prepared by an outside professional), which makes them the most reliable thing a buyer can base an offer on, and essential for any lender.

When a valuation is performed, the personal deductions you took, along with interest and depreciation, are added back to reach a true Sellers Discretionary Earnings figure. SDE is what determines value.

If you genuinely cannot produce formal financials, be prepared for two things: you will probably carry significant seller financing, and you will likely sell on a best-offer basis or lease with an option to purchase.

Contrary to what you may think, there is a great deal of small business acquisition lending going on. You'll need three years of tax returns plus interim financials for the current year.

The limits come down to what counts as a quality business, and it's three things: at least three years trading, annual cash flow or profit of $100,000 or more, and tax returns to back it up. Don't take offense if yours doesn't qualify: it doesn't mean the business is a failure, only that it won't carry lender financing. Those sell with seller financing or a lease-to-purchase option.

One of the biggest misconceptions is that small business loans are based on credit. Credit runs a distant third.

First is relevant experience. A lender asks for a resume before almost anything else. Ask yourself whether you would finance a buyer with no experience running your type of business. Second is liquid capital: at least 20% of the asking price, readily available. Third is creditworthiness, and most lenders want 640 minimum from a buyer who already meets the first two.

Less simple than it seems, because every business is unique. We look at financials and profitability, the type of business, employees, how much the operation depends on you, market trends, competition, stability and longevity.

The valuation is free* and commits you to nothing. As part of it we'll tell you what we see as the current strengths and weaknesses, and what you could do to increase value before it's time to sell. Over 90% of the time we come in higher than the owner expected.

Representation from start to finish, rather than a listing. Specifically:

• ✓Confidentiality before, during and after the sale
• ✓Every buyer qualified the way a lender qualifies them
• ✓A lending network to get those buyers financed
• ✓Reach into very nearly every buyer looking in this market
• ✓Your business represented to closing, not just advertised
• ✓No upfront fees of any kind