Hallo
I work in a wine shop that my boss would like to sell. The reason for the sale is that after 3 years he cannot pay himself a full salary on which he can live. I am also the only employee with a permanent contract. Now several parties are interested in taking over with me as co-owner. I will remain employed while retaining my current salary, etc. and at the end of the year we will divide profits. I have to partly buy myself in for that.
Well, I’m not at all familiar with these types of situations and I was wondering what important questions you should ask to your potential interested parties
Thanks
Are you sure you want this burden? Here are a ton of questions you should consider
Financial Questions
What is the asking price for the business? This is obviously a crucial question to start with. Be sure to get a detailed breakdown of the asking price, including the value of the assets, goodwill, and any other intangible assets.
What are the business’s annual revenues and profits? This will give you an idea of the business’s financial health and its potential for future growth.
What is the business’s debt load? This will help you assess the business’s financial risk and determine how much you can afford to invest.
What are the business’s cash flow projections? This will give you a better understanding of the business’s short-term and long-term financial viability.
Operational Questions
What are the business’s core products or services? This will help you understand the business’s target market and its competitive landscape.
What are the business’s key strengths and weaknesses? This will help you identify areas where the business can improve and potential areas of risk.
What are the business’s current and future growth plans? This will help you assess whether the business’s vision aligns with your own.
What are the business’s key relationships with suppliers, customers, and partners? This will help you understand the business’s reliance on external factors.
Management and Personnel Questions
What is the current management team’s experience and qualifications? This will help you assess the business’s ability to execute its plans.
What is the current employee turnover rate? This could indicate potential problems with employee morale or retention.
What are the current employee benefits and compensation packages? This will help you understand the business’s labor costs and its commitment to its employees.
What are the business’s plans for future hiring and growth? This will help you assess the business’s potential to create new jobs.
Legal and Regulatory Questions
What are the business’s current licenses and permits? This will help you ensure that the business is compliant with all applicable laws and regulations.
What are the business’s current legal obligations? This could include contracts, leases, or other legal agreements.
What are the business’s environmental compliance obligations? This could include permits, regulations, or remediation requirements.