Selling Closely Held Companies

PGI’s unique FORMULA FOR SUCCESS achieves maximum value for our clients. Here's how we do it:

selling a businessMaintain Confidentiality

This is the mainstay of our process -- to protect your customer base and employee morale. Our meticulous, thorough procedures ensure your company’s identity is protected through the sales process.  Every potential qualified buyer signs a confidentiality agreement before learning the company’s identity and proceeding.

PGI Creates A Goal Driven Exit Plan

We first create a team environment with your financial, legal and tax advisors so as the sales process unfolds and the need for their expertise arises, they are there to assist.   The tax aspects are addressed to analyze the various options regarding structure; asset, stock, or membership sale and the corresponding tax consequences.  Transitional management needs to be addressed.  A solid management plan should be created to give potential buyers confidence that the business will have a smooth transition of ownership.  PGI creates a step by step exit plan to maximize your value.

Our Dynamic Offering Book

We look at the elements of your business and create a “position of strength” from which to negotiate and work.  Our Confidential Offering Memorandum is the first step and showcases your business with the goal of giving buyers enough information to make an offer in a timely manner.  This is part of our process that brings offers to the table at the same time. This presentation is not just a collection of charts, graphs and financial statements—it's a thorough and impressive offering book providing a complete description of your business, telling the story of your success, growth opportunities, competitive advantages and providing a stimulating vision for the future.  The result is up to a 150 page dynamic sales and marketing package to maximize your value.

PGI Strengthens Our Client

Before we make a market for your company we first educate you as to how to deal with the process. This strengthens your ability to successfully respond when talking and meeting with buyers and better equips you for the ongoing decision making.  We cover the following topics with you until you have a reasonable understanding and command of the process:

  • HONESTY IS THE BEST POLICY,
  • GUIDELINES FOR CONFIDENTIALITY AND RUMOR CONTROL
  • GUIDELINES FOR “MAKING A MARKET”
  • GUIDELINES FOR SELLER/BUYER DISCUSSIONS
  • GUIDELINES FOR A VISIT FROM A PROSPECTIVE BUYER
  • GUIDELINES FOR THE JOURNEY TO CLOSING

Our Proven Eight-Point Sales and Marketing Program

On a CONFIDENTIAL basis, we conduct an eight point strategic sales and marketing program on a national, and when required, an international level.  This generates both financial buyers and strategic buyers who are generally competitors or companies in a similar field.  We spread the sales and marketing net deep into all corners of the market with proven results.

Special Purpose Sell-side Nondisclosure Agreement

Many times a challenge in having a buyer respond in a timely manner is the result of an onerous nondisclosure agreement (“NDA”).  It may take days or weeks of back and forth negotiations to reach mutual agreement. This can delay the timing of offers. PGI has had a one page but adequate NDA crafted by a regional law firm where only the buyer is named and is binding even though the company or client is not included in the agreement and is not revealed until the buyer has first signed.  PGI will submit this special sell-side NDA to a clients legal counsel for approval.

Aim for Maximum Value with Multiple Offers

It takes skill, honesty and experience to get Buyers to the table at the same time.  We have developed our proprietary “Deal Point” process, where the goal is to get multiple offers at the same time and negotiate them simultaneously to maximize your value.  We offer no asking price to the buyers.  Different buyers can have different values for the same business.  A price merely limits value.  The result of our Deal Point process is a controlled auction that has created surprising results.  We have been able to repeatedly obtain maximum value for our clients.  Again, our sellers’ letters of reference say it best.

PGI Manages the Process from Beginning to End

Managing the closing is a critical part of the process.  It is easy for a transaction to get high-centered, become stalled and die. PGI’s three decades of experience keep the deal moving. We have found that the highest risk of losing a transaction occurs after an offer has been accepted.  This is where PGI has created another proprietary process: the "Roadmap to Closing."  Here we create a team environment instead of an adversarial one (one legal team against the other) and assist in the due diligence, third party consents, lease requirements, UCC filings, real property matters  and legal issues that bring you to a successful and timely closing.  We stay fully involved and maintain an active presence from start to finish.  The Roadmap to Closing process shepherds the deal with weekly updates to a successful closing. 

Our success in selling your company will result from our three decades of proven proprietary methods and our Integrity In deal making.

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