Company Becho

Frequently Asked Questions (FAQs)

What does your firm exactly do?

Ans: We help entrepreneurs and business owners buy or sell existing businesses. Our end-to-end M&A advisory includes business evaluation, preparation of marketing materials, buyer/seller identification, negotiation support, and closing assistance.

Ans: We primarily work with small to mid-sized privately held businesses across industries. We assess each opportunity based on its operational history, scalability, and owner objectives.

Ans: You begin by contacting us. We’ll schedule an initial meeting to understand your objectives, study your business, and if everything aligns, sign a mandate letter to initiate the formal process.

Ans: Our typical sale process includes:

  1. Initial Meeting– Understand your goals and business.
  2. Business Assessment– Evaluate if the business is ready to be sold.
  3. Mandate Signing– Formalize our engagement.
  4. Documentation– Prepare teasers and Information Memorandum (IM).
  5. Buyer Identification– Search and approach the right buyers.
  6. Negotiations & Deal Closure– Assist through discussions to closure.

Ans: Yes, we help buyers identify the right opportunities, perform due diligence, evaluate the deal’s fairness, and support the transaction end to end.

Ans: A mandate letter formally authorizes us to act on your behalf to find a buyer (or seller). It outlines our role, scope of services, confidentiality terms, and our success fee structure.

Ans: 

  • Teaser: A one-page anonymous summary of your business shared with potential buyers to generate interest.
  • IM (Information Memorandum): A detailed document (shared after NDA) covering the business model, financials, market position, and future potential.

Ans: A sale typically takes 4 to 9 months, depending on the business type, financial condition, industry, and buyer response.

Ans: Absolutely. Confidentiality is a cornerstone of our process. We never disclose your identity or business details without an NDA (Non-Disclosure Agreement) in place with interested parties.

Ans: We charge a success-based fee, which is payable only upon successful closure of the transaction. In some cases, a nominal retainer may be discussed depending oAbsolutely. Confidentiality is a cornerstone of our process. We never disclose your identity or business details without an NDA (Non-Disclosure Agreement) in place with interested parties.

n complexity.

Ans: Yes. We assist in indicative valuation based on market benchmarks, historical performance, and future potential. If needed, we can also arrange third-party valuation reports

Ans: Yes, and you must. A business that is running smoothly during the sale process attracts better value and buyer interest.

Ans: We facilitate due diligence by coordinating with professional partners like lawyers, accountants, and tax experts, ensuring a seamless process.

Ans: If your business isn’t yet sale-ready, we’ll guide you on how to improve operations, compliance, or documentation before reinitiating the process.

Ans: Yes. We can structure partial stake sales, bring in strategic investors, or help you explore joint venture opportunities depending on your goals.

Ans: A Letter of Intent (LOI) is a non-binding document that indicates a buyer’s intent to acquire a business. Although it is not legally enforceable, it is a vital step in the transaction process.

An LOI outlines key deal parameters, including tangible and intangible assets, movable and immovable properties, and the seller’s asking price. This document ensures that the buyer understands the deal structure before proceeding with due diligence. At Company Becho, we assist in drafting and reviewing LOIs to ensure smooth negotiations.

Ans: A Data Room is a secure, cloud-based repository that systematically stores all critical documents and business data for a seller’s company. It provides controlled access to authorized parties while maintaining confidentiality and preventing misuse.

At Company Becho, we carefully manage Data Room access, ensuring that sensitive business information remains protected throughout the sale process. This enhances trust and transparency between buyers and sellers.

Ans: A Definitive Agreement or Term Sheet is the final, legally binding contract that outlines all mutually agreed terms between the buyer and seller.

This agreement details the entire transaction structure, including the business assets being transferred, deal value, payment terms, and timelines. It serves as the ultimate legal document governing the business sale, ensuring clarity and security for both parties. Company Becho facilitates the negotiation and execution of Definitive Agreements or Terms Sheets to streamline the closing process.

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