The Importance of an Accountant When Selling or Transferring Ownership of a Business (Part II)

Finding Potential Buyers: If you plan to sell your business, you will want to find good prospective buyers. In many cases, you will find that people are just interested in learning what a business of your type goes for or are just looking around for a good deal on a new business. Knowing how to go about weeding out those who are not serious about buying a business and how to attract better prospects can be difficult but a professional in this area can be of great assistance as they can research the various prospects. This is especially important if you plan to finance the new owner as you need to know they can make the loan payments as agreed. Furthermore, you will need to obtain collateral to protect the loan as you can never know for sure how the new owner will run the business. It may lose value under his/her management and you want to be sure you are protected if this occurs.

Business Selling Tips

Paperwork: A great deal of paperwork is involved in the sale of a business. You will need to show the buyer the tax returns from previous years, the inventory account, and other things of that nature. An accountant will help in gathering this paperwork and helping you generate reports, which shows your business in its best light. Doing so allows you to get the most for the business you have worked hard to build. Paperwork must also be filed once the sale is complete. Various forms are required by the IRS, which you must ensure are filled out correctly in the event of an audit down the road.


Many other issues may arise during the sale or transfer of a business. Work closely with a professional accountant during the entire process to ensure you cover all the bases so problems do not arise once the sale or transfer is complete.

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