The decision to sell your business should never be rushed and requires a team of experts working on your behalf to ensure you receive the best outcome. Some of the considerations your team will prioritize for you include making as much profit as possible while saving you money and keeping the transaction as secure and problem free as possible. When you look at a proposal on paper, everything appears to be very simple. The truth is that mergers and acquisitions are based on several variables, including finding the right buyer and settling at the right price. This is not the time to attempt a DIY approach; instead, put the sale of your businesses in the hands of the professionals at Mark Dicus & Company. Keep reading to learn more about your accountant’s role during the merger and acquisition process and why partnering with an accounting professional is the smart thing to do.
Do you know how much your business is worth? Most business owners struggle with this question, and while you may have a number in mind, you won’t know if it’s even feasible until you discuss it with your accounting professional. Your Mark Dicus & Company accountant will ensure you understand your material assets and liabilities, the assets you own, the money you owe, and what exactly is included in the sale. Your accountant will provide support by providing you with an evaluation and ensuring that you understand your material assets and liabilities. Your accountant will also give a clear picture of your past earnings, your cash flow, balance sheets, equity, and your company’s performance, and any liabilities.
Organize & Structure the Business Sale
There are a number of different circumstances that pertain to the sale of your company; for example, a deal could refer to a merger, a takeover, or the formation of a new company or shell company. You could be selling your company assets, majority stock, equity, or a combination of all three. Your financial advisor’s job is to decide which deal structure will work best for you and make you the most amount of money. Your accountant will act as the liaison to break down the accounting language and inform you of the pros and cons of each of the different options available to you.
Business tax codes can be complicated, especially in mergers and acquisitions, which can have several different implications depending on the state and federal jurisdictions. Just as the structure of the deal can vary, so do the tax requirements associated with them. You will also need an accounting service with experience with audits to ensure that your business taxes are filed appropriately with the IRS. If you don’t have an accountant to answer questions, you could create issues in the future. Should the buyer attempt to make changes to the purchase price, your financial advisor has the knowledge to explain any tax consequences to preserve your best interest and save you valuable time and money. Your accountant will also help you assess risks and terminate any business relationships that are not to your advantage.
An Accountant Can Help Plan for the Future of Your Business
The sale of your business is a new beginning and could signify retirement or an investment for your next business venture; regardless of your plans, you must strategize with your accountant to make sure that you and your family make the most of your finances.