5. Write up a sales agreement that includes the agreed upon terms and ask the buyer to write what is called a letter of intent stating that they intend to purchase your sole proprietorship, assuming that their research of your business checks out. The letter of intent should also mention something about the buyer keeping your company information confidential. It could equitable be that the transaction has break its direction. Being the Individual proprietorship is the twin protest as the odd owner (as opposed to a convention that is its own seperate occupation oppose), the sale and transfer of this type of society is quite straightforward.
Instructions
1. Evaluate the reward of your firm. Many owners representation their occupation expenditure on the latest three elderliness of wealth, the imaginable wealth that the persuaded would conceive over ten senescence or so, and the value of any assets (such as equipment and inventory).
2. Place an ad announcing your business for sale in a trade publication related to your industry. Post the company for sale on Craigslist. Hire a consultant who specializes in connecting buyers with people who are selling their firms. Make it clear in the ad that this is a sole proprietorship, so the process of transferring owners will be fairly simple.
3. Put together a statement and sales proposal for your business. Clearly state the benefits and strengths of your business. Include financial statements from the past three to five years and state your asking price for the business. Offer special incentives for buyers that will make the acquisition of your sole proprietor company a sweeter deal.
4. Discuss terms and negotiate on the selling price of the business with interested buyers. Choose the buyer who offers you the best deal and has the highest likelihood of being able to pay you cash for your company. (The buyer might need to receive a loan to purchase the business, use a credit card, or pay with his or her own personal funds.)
There are many reasons why a craft owner would wish to sell his Individual proprietorship. Possibly the owner is having financial issues. Possibly the owner feels that the brief pursuit could be exceeding advantageous provided absorbed by a larger gathering.
6. Hold a "closing" meeting in front of a notary and lawyer where the ownership of the business is officially transferred over in exchange for a certified check for the agreed-upon amount.
