Generally speaking, business brokers classify a mid-sized company as one that has between 100 and 999 employees. At MG, we have a large database of every imaginable prospective buyer and if they're serious, they should complete the sales transaction between 6-8 months or less. Here is the time schedule for Mutual Growth Brokers:
Month #1 – A value is determined and all necessary documents are in your file and reviewed together.
Month #2 – Potential buyers are being screened and conversations are being conducted.
Month #3 – Letters of interests, non-binding offers from potential buyers are submitted
Month #4 – Serious letters of intent delivered and at least one serious buyer moving to close
Month #5 – Due diligence or apprenticeship is initiated over legal, accounting and human resources
Month #6 – Contracts are completed which include: purchase agreements, employment agreements, board members and shareholders agreements if you are going to retain part ownership of the company.
Although this timeline should be flexible, depending on your type of business and it's geographical location, it could take between 7 and 12 months to sell a mid-sized business. But if it goes beyond that then there is something wrong. At Mutual Growth, we don't sell fairytales, we are direct and concise. Your growth is our growth. It is a Mutual Growth.