For many business owners, the prospects of selling to an unrelated, outside 3rd party represent the most likely path for exit planning.
Unfortunately, many of these potential deals end up not being closed after significant time and energy has been spent. There is one single factor that represent 85% of failed transactions ... price.
In general, most negotiations have a "price gap" of roughly 20-25%.
Meaning an offer to buy of $8.0M is countered with a desired sell price of $10M by the seller.
Blevins Financial specializes in creative, tax-efficient structures that are designed to "bridge the gap"
between the buyer and seller. Our strategies utilize the tax savings to allow the buyer to pay what he thinks the business
is worth ($8.0M in this case) but the Sellers receive the same NET income as they would have had they sold the business
for their desired $10,000,000 price.
Providing this level of tax efficiency significantly increases the likelihood that your deal will be consummated - and that your succession plan will take place.
