Imagine a scenario. You have decided to sell your business, and you were hoping to sell it for, let’s say, around £300,000, and there are only two potential buyers. Which offer do you accept?
The first offer is from an individual. They are willing to match the asking price of £300,000. But they haven’t arranged their finances yet, so they need to now sort out a loan in order to complete the purchase.
The second offer is also from an individual, they are only offering £280,000, but already have proof from a financial institution that they have a loan in place, so they will just need to dot the Is and cross the Ts.
I’m not sure about you, but I’d definitely lend a lot of weight to the second offer. (Obviously, if there was a third offer of the full amount in cash up front, we would probably take that, but sometimes you don’t get dealt such a good hand!). Although it is for slightly less, just having proof of finances is already a reassurance that the deal is much more likely to go through, and much quicker too.
And you should adopt a similar attitude if you are looking to buy a business. Having proof of funds in advance of an offer can sometimes make the difference, and can put you in a stronger negotiating position to boot!
So if you are looking to buy a business, then it is worth speaking to ASC, a commercial finance broker with over 40 years’ experience. With our successful track record, we can arrange finance to buy a business, commercial finance, development finance, asset finance, working capital and more.