Our Buying Process

JPAbusiness provides a range of services to support clients who are looking to purchase a business.

Our buying process

JPAbusiness provides a range of services to support clients who are looking to purchase a business.

Below is an example of a typical Business Advisory Services agreement between JPAbusiness and a business purchase client, for the purposes of:

Project:
Business Advisory Services:
Business Assessment, Negotiation and Due Diligence

Objectives:

Assess, evaluate, negotiate and assist with the acquisition of a suitable business that meets the client’s acquisition target requirements.

Services and Scope:

The services that JPAbusiness Pty Ltd will undertake are as follows:

A. Preliminary Business Assessment

Preliminary investigations and preparation of key business information on preferred business, including:
  • up-to-date and relevant financial and business information sets, adjusted for abnormal items;
  • assessment of business maintainable earnings;
  • assessment of other risks, opportunities and issues for consideration.

B. Market Appraisal

Initial business evaluation, culminating in a Market Appraisal determining a fair market value range and clarification of the vendor’s objectives and motivations on the preferred business.
Report provided to client for review and consideration on potential offer.
If a Market Appraisal is required on a residential premises it will be conducted under this item.

C. Indicative Non-binding Offer

Preliminary negotiations to documentation and submission of Indicative Non-binding Offer, subject to conditions, exclusivity and due diligence.

D. Heads of Agreement

Draft and execute simple Heads of Agreement, providing exclusivity to conduct due diligence in a defined timeframe in order to provide a binding offer and firm up purchase conditions.

E. Due Diligence

Undertake commercial and financial due diligence, including coordination of legal due diligence (with nominated legal advisor).
Summary report provided to client.

F. Lease Assignment and Negotiations

Assistance with premises lease assignment and/or negotiations.
Drafting and other related commercial advice on premises issues that may impact purchase.

G. Sale Documentation

Negotiation and advice, including briefing legal advisor, with final Sale Purchase Agreement (contract) documentation.

H. Business Transition and Performance

Transition oversight and ongoing business performance health check, mentoring, monitoring and reporting services.

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