Selling a Business

8. Completing the Deal

The buyer's offer will be subject to further due diligence and to the detailed sale agreement. Provided that this due diligence is trouble free, and neither party has any surprises up its sleeve, the sale should now be relatively safe.

8.1 The further due diligence usually involves the buyer's accountants and lawyers.

• The accountants will want to look at every aspect of the finances of the business.
• The lawyers will want to check that your business has full legal ownership of all key assets (eg property deeds and licensing contracts). They will also want to look at the legal relationships with customers, suppliers and employees.

8.2 Certain members of your staff (eg finance director or company secretary) may have to be involved early on in the due diligence process.

• Be mindful of the feelings of your employees, especially when communicating your plans, as you may lose key members of staff if they fear their jobs are in jeopardy.Under EU rules, businesses with more than 50 employees have to notify and discuss, with their employees, any changes likely to affect their jobs. Penalties for non-compliance can be severe.
• Carefully consider who you tell and when you tell them.

8.3 Finalise the sale and purchase agreement.