Your options for selling a business

Organising a sale - and understanding the options

First things first: talk to your professional advisers if you're considering selling your business- usually your bankers, accountants and solicitors.

At the risk of repeating ourselves, it's absolutely essential that you seek out this professional advice.

Deals explained

There are as many types of deal as there are types of business. However, many deals fall into these categories:

• MBO (Management buy-out)
  Most business sales are management buy-outs. Don't underestimate the funds your management team may be able to raise - we're experts in constructing deals which mix creativity with sound financial reasoning. An MBO can also offer security of ongoing employment for your former staff.
• VIMBO (Vendor-initiated management buy-out)
  An MBO in everything but the first two letters - and the fact that the seller has made the first approach to the management team.
• MBI (Management buy-in)
  This is where an external management team comes in to buy a business. Most deal-makers class these deals as being somewhat riskier than MBOs.
• Cash out
  This could be the answer if you're looking to unlock some of the wealth you have created. It works by borrowing money against the value of the business, but without your having to surrender any equity.

Deals in full