Frequently Asked Questions
General Questions
What services does MCO Business Advisors offer?
MCO Business Advisors specializes in mergers and acquisitions (M&A) advisory services. We assist with buying, selling, and valuing businesses, as well as providing strategic growth consulting, due diligence support, and transaction structuring.
How long does it take to sell a business?
The timeline for selling a business varies depending on several factors, including the industry, market conditions, and the complexity of the transaction. On average, it can take between 6 to 12 months from listing the business to closing the deal.
How much is my business worth?
The value of your business depends on various factors, such as financial performance, market conditions, assets, liabilities, and growth potential. Our team provides professional business valuations to determine the most accurate value for your business.
Buying a Business
What should I consider when buying a business?
When buying a business, key considerations include the company's financial health, customer base, market position, and growth potential. You should also evaluate the leadership team, operational efficiency, and any existing liabilities.
Do I need a business advisor to buy a business?
While it's possible to buy a business without an advisor, having a business advisory firm like MCO can help you identify the best opportunities, conduct due diligence, and negotiate favorable terms, which can save time and reduce risks.
What is the process for buying a business?
The process generally involves identifying acquisition targets, conducting due diligence, negotiating terms, and finalizing the purchase agreement. MCO Business Advisors helps clients at every step of this process to ensure a smooth transaction.
Selling a Business
How do I prepare my business for sale?
Preparing your business for sale involves organizing financial documents, streamlining operations, and identifying areas for improvement. MCO Business Advisors works with you to ensure your business is well-positioned to attract potential buyers and maximize its value.
How does MCO Business Advisors help sell my business?
We assist with every stage of the selling process, from valuing your business and creating marketing materials to identifying potential buyers and negotiating the final sale. Our team ensures that you receive the best possible terms for your transaction.
What are the common pitfalls to avoid when selling a business?
Common pitfalls include overestimating the value of your business, failing to properly prepare documentation, and not maintaining confidentiality. MCO Business Advisors helps you avoid these mistakes by providing expert guidance throughout the process.
Valuing a Business
How is my business valued?
Your business is valued using several approaches, including asset-based, income-based, and market-based valuations. MCO Business Advisors analyzes financial performance, industry trends, and market conditions to provide an accurate assessment of your business's worth.
Why do valuations vary between firms?
Valuations may vary based on the methods and assumptions used by different firms. Some may focus on different financial metrics, while others may have varying risk assessments. MCO Business Advisors uses industry best practices to ensure the most accurate and market-reflective valuation.
How often should I get my business valued?
It's recommended to have your business valued every few years, especially if you're considering a sale or major change in ownership. Regular valuations help you understand your business's current market position and can guide future decision-making.