Qualify interest before releasing detail
Ask about acquisition experience, location, timing, and the kind of operation the buyer wants. Request an appropriate confidentiality agreement before sharing an identifiable business summary.
Detailed tax returns, customer lists, and employee information should follow a controlled process. An NDA is useful, but it does not eliminate every risk of sharing sensitive material.
Ask how the acquisition is funded
Discuss available equity and any financing still needed. Proof of funds or meaningful lender preparation is more useful than a statement that financing should be easy.
A buyer who changes its funding story late may be shifting risk to you. Review any request for seller financing as a new credit decision rather than a minor closing detail.
Limit what exclusivity costs you
Exclusivity can remove your ability to talk with other buyers for an agreed period. Have counsel review its scope, duration, milestones, and termination rights.
Establish a valuation view before granting that position. One interested buyer does not tell you the full market value or whether another payment structure is possible.
Compare readiness with your own goals
Assess whether the buyer can operate the company, retain essential staff, and support the working capital needs. A high number is less useful if the buyer cannot complete the purchase.
Choose a next step that protects your time. A qualified introduction or independent sale discussion can give you a framework for responding without committing to an engagement.
Continue your sale preparation
Request a business sale introduction when you are ready to discuss your company.