Some minority BUSINESS OWNERS are confronting business and life changes and need to create a solid business EXIT STRATEGY. Whether legacy, family, growth, business exit, or business fatigue is the main driver, we can help you on your journey.
MAI represents a RELIABLE ACQUISITION partner offering fair market valuation, strong employee support, and a continued commitment to community impact—ensuring your business LEGACY thrives well beyond the sale.
Selling your business
After careful consideration, you may decide to sell your business. We can help ensure you cover all your bases.
HOW TO DO A SELF-EVALUATION OF YOUR BUSINESS FOR SELLING PURPOSES
Financial Performance Review
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Analyze financial statements:
Profit & Loss, Balance Sheet, Cash Flow for the last 3-5 years. -
Check profitability:
Are revenues growing? Are profit margins healthy? -
Review debts and liabilities:
Understand your outstanding debts and payment obligations. -
Assess recurring revenue:
Stable, predictable income streams add value.
THE VALUATION
MAI knows the importance of being able to present a fair and accurate accounting of a business’s value. A business appraisal is particularly important when attempting to buy and sell a business. The valuation document is the single most useful piece of financial information about any business.
When MAI creates a business valuation, our goal is simple: create an accurate, comprehensive business appraisal document that will stand up to scrutiny.
The following information will be needed for MAI to complete a business valuation:
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Tax returns for the last 3 years Federal Tax Return
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Interim Profit and Loss Statement (P&L), including balance sheet
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Last 3 years Profit and Loss Statement (P&L), including balance sheet
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Average value of inventory of saleable product on hand at any time of year
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Equipment List
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Copy of tax bill on real estate; if the real estate may be included in the sale
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Copy of any real estate appraisal that is available
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Lease information
Having a realistic valuation of your business will be key to pricing it well and selling it effectively without leaving money on the table. MAI acquisition price typically ranges from 2x – 3x annual profit.
What’s The Process For Selling My Business?
Selling your business typically doesn’t happen overnight. If you’re a minority business owner representing yourself and have decided not to use a business broker, the closing process can be 30 – 90 days.
If you decide to use a business broker, please consult the business broker on what process will the business broker be following to sell your business, and does that process have a proven track record? Work with a business broker who fully explains how the process works and is there throughout the process to answer any questions that arise.
The Selling Process Includes:
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Consultation & Valuation
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Packaging the Business
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Buyer/Seller Meeting
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“Offer For Purchase” Review & Negotiation
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Due Diligence
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Closing
What Does It Cost To Sell
Your Business?
MAI understands minority business owners would like to preserve most of their cash payout and can negotiate directly with the owners, canceling out business broker fees. We are committed to acquiring minority-owned businesses at a fair and reasonable valuation, ensuring just compensation for the minority owner's years of effort and investment.
MAI does recommend all minority business owners work with a business broker who has a proven valuation process and a track record of successfully closed sales. When you’re considering working with a business broker, knowing about their upfront fees and commissions is important. So is having an idea of fees to expect from other participants in the process, like the legal team that will close the sale. Choose a business broker who is completely forthcoming when it comes to discussing fees.
