Jason Horwitz, at JH Business Advisors, has many businesses in many industries, for sale at any one time. Our businesses for sale are carefully selected to be sure these are opportunities we feel confident in representing. Time is truly valuable, and because of this, if we believe a certain business will not sell because of issues we foresee coming up during the due-diligence process – we will not list the business for sale. Please take a look at our businesses for sale, and email or fax our Buyer Profile & Confidentiality Agreement, so we can get started. Once we receive this information, a detailed and confidential business memorandum will be sent over. This package will include all financial data, and should answer most of your initial questions on the opportunity.
Featured Services to Buyers:
Escrow: We close all sales through an escrow company, specializing in business sales. In Nevada, there are no Bulk Sales Laws to protect the parties of the transaction.
Paperwork: Our Purchase agreements are structured in a way to provide the utmost protection for all parties involved. We make sure all things are enforceable, including any non-compete agreement negotiated between both parties. We make sure an allocation of assets is complete, which if not done correctly, can provide for horrible tax consequence to either party.
Due Diligence: You are protected by the Due Diligence provision in our Agreements. This give you a period of time to review all the books and records for a past period of time in order to help verify the income and expenses claimed by the seller. During the due-diligence period, you can request money be refunded at any time during the process. The money is simply there to demonstrate interest, and does not go hard until due-diligence is complete.
Lease Assignment: assignment of the existing lease or negotiation of a new lease is vital to a business deal. After all, if you can’t lease the space, why would you want the business? There are no cutting corners when it comes to your lease. We will have landlord lease assignment approval for you in writing before closing escrow.
Franchise Approval: This is another very important aspect of a deal when dealing with franchises. The franchise must be transferred to the Buyer. We work directly with the Area Developer or Corporate to ensure that buyers qualify for and obtain franchise transfer, from the FDD to the closing table. We, and/or franchise headquarters, also work with the seller to assure that he or she is compliant with corporate required upgrades in order for franchise transfer approval. We encourage direct buyer communication with the various franchisors as often costs and details change without us being informed.
Seller Carry Financing: In most cases, there is no bank and S.B.A. financing available for assisting you in purchasing a business. We will help you negotiate the possibility of the seller carrying a note as part of the purchase of the business.
Buyer Services
By: Jason Horwitz
A good business broker not only represents sellers, but also represents buyers looking to find the right business. Business brokering is very different from real estate, for a very good reason. In real estate you can ask your agent to look up properties on a MLS. We don’t have that, due to the confidentiality of selling businesses. Another major difference is in the standards across a “Cooperative split” among brokers. Many business brokers do not allow for co-op agreements, and will either pay a small referral fee and handle the transaction, or offer nothing at all. This really hurts the market, in Las Vegas and other cities, because brokers tend to sell in-house listings only. At JH Business Advisors, we offer split agreements to advisors/brokers in surrounding offices, and also search for listings for sale, at other brokerages. We believe this is truly the only way to properly represent our client.
Because we do not have an MLS, when a buyer calls to say that they want you to help him/her find them a business, we must contact each and every broker individually. We must fill out a co-broker agreement and submit the non-disclosure on file for that client. As you can imagine, that is a very time consuming request. In order to better separate serious buyers from people just “testing the waters”, JH Business Advisors offers buyer representation for prospective clients, on a fee+commission basis. For these buyers that truly wish to hire JH Business Advisors, we ask for an upfront fee ranging from $7500-$15,000; which will give our clients a dedicated amount of time and effort, in order to help them find a business. Finding a business isn’t the most valuable resource JH Business Advisors is however, able to offer a buyer.
Our services provided to a buyer would extend much beyond finding a business, and into some real specified services that would make choosing a us the clear choice. Our buyers-agents will provide help finding the business, drafting the purchase agreement, opening preliminary escrow, entering into due-diligence and requesting items needed for due-diligence, help the buyer with these due-diligence matters or find a due-diligence firm to assist, help to obtain financing, assist in any lease negotiations/assignments or property purchases, assist in looking into and obtaining any licensing requirements, assistance drafting or reviewing any promissory notes (when qualified), and on and on – up until the close of escrow. These things are very crucial, and hiring a true “deal expert” is truly in the buyer’s best interest. We encourage anyone interested in hiring a buyer-agent to interview other potential brokers. We know our services and expertise is unmatched, and you will soon, return.
Because many of these matters involve legal expertise, it is important whomever is hired has internal legal counsel, or have an attorney they work with nearby. At JH Business Advisors, we have in-house counsel able to assist throughout the entire transaction.