How to Choose the Best Offer: A Business Broker’s Guide to Evaluating Buyers
Receiving multiple offers when selling your business is both exciting and challenging.
As a business owner, the highest price isn’t always the best path. Deal terms, structure, and the buyer’s ability to close all play a role. At Magnus Business Group, we help business owners in Southern California evaluate offers with clarity so they can secure not just a sale, but the right exit.
1. Look Beyond the Headline Number
In the business sales process, the purchase price is just the beginning. Terms such as payment structure, financing, and earn-outs can significantly impact what you receive.
When comparing offers, consider the details that affect your valuation beyond the headline number.
2. Consider Deal Structure
Is the transaction structured as an asset sale or a stock sale? The difference affects taxes, liabilities, and net proceeds.
A skilled business broker or Mergers & Acquisitions advisor can show you how structure impacts the deal and helps you choose the option that maximizes your financial outcome.
3. Assess the Buyer’s Ability to Close
A strong offer means little if the buyer can’t follow through. Review proof of funds, financing contingencies, and the buyer’s track record. As business brokers, we’ve seen deals fall apart because sellers overlooked this step.
Certainty of a close often outweighs a slightly higher offer that’s uncertain.
4. Think About Cultural Fit and Legacy
Many business owners want to protect their legacy. Consider how each buyer will treat your employees, customers, and brand reputation. Will they maintain the culture you built?
Selling your business is not only a financial decision but also a personal one, and the right buyer should reflect that.
5. Plan for Your Role After the Sale
Some offers require you to stay on during a transition period, while others include long-term employment agreements.
Clarify how involved you want to be after the sale. This is a key part of exit planning, ensuring your next chapter fits the lifestyle you envision.
6. Weigh Professional Guidance
Evaluating multiple offers is complex. A trusted business broker or exit planning advisor can help you analyze competing deals, highlight risks, and negotiate terms that protect you.
Professional guidance ensures you’re not just focused on price, but on the long-term success of your exit.
Ready to Navigate Multiple Offers with Confidence?
Magnus Business Group specializes in helping business owners prepare for sale, maximize value, and choose the right buyer. Whether you’re considering selling your business now or in the next few years, we’ll guide you through every step of the process.
Curious How Buyers See Your Company?
Take our 15-minute Value Builder Questionnaire and receive a free report that rates your business across 8 key Value Drivers—so you’re ready when multiple offers come your way.
You’ll know exactly where you stand, and how to choose the offer that sets you up for a successful future.
Contact
Magnus Business Group, Inc.
Westlake Village, CA 91362
Phone: 805-259-4795
Email: info@magnusbusinessgroup.com