Selling or Purchasing Commercial Real Estate

Where to start? Next steps? These are some of the questions I hope to answer for you below.

Where do we start when I want to sell my business?

Before we list, it makes the process a lot smoother if we have at least 3 years of financial statements prepared (If possible), and the lease (If leasehold). Buyers are going to want to understand if the business is making money, and if they can justify the asking price. An exception to this would be if the buyer is going to change the use of the business, then they may only care about feature of the business and the lease.

After getting the important financial documents prepared, we can look at comparables and/or we can create a price breakdown estimate of your business to determine our asking price. Often, buyers will request a price breakdown to understand how much the: Equipment, leasehold improvements, franchise and/or trade name, inventory, and anything else included in the sale is worth before submitting an offer. This is especially important if the buyer needs to get a loan to purchase the business.

Once we have everything, or most of what we need to get buyers to submit an offer; if I or one of my associates do not already have a buyer for your business, we will advertise it on the market (MLS, CPIX etc.).

Where do we start if I want to purchase a business?

First of all, to search for you I will need to understand what type of business/ industry you are looking for. After I can understand which businesses can best suite your needs and skillset, we can discuss your budget and desired profit.

Manitoba law requires every Realtor enter into a service agreement before providing any real estate services with clients. Once that is signed, I am able to send you listings and show you off market deals!

It is also recommended that you keep yourself active in the search, if you do find something you like, let me know and we can see if it's a feasible investment! We will always try to get all the important documents we need for this; including 3 years of financial statements, the lease (if leasehold), a price breakdown of the business, comparables of similar businesses, and anything else we need for the specific business. After we have everything we need, we can discuss submitting an offer and negotiating with the seller.

What happens when an offer is accepted?

Once the offer is accepted, there is lots of work to complete to make the deal happen. Most often, before an offer is placed sellers will only provide the information required for the buyer to determine what price to offer, so that way both parties can agree on the price before they spend too much time working on the deal.

Once the price is agreed upon (Offer accepted), the buyer and the seller must work through conditions that affect the sale to make it happen. For the buyer this usually involves acquiring financing, doing a due diligence search, and approving documents requested from the seller such as an equipment list.

For the seller, the work often involves creating such documents such as the equipment list, and fulfilling other conditions that both parties agreed to, such as doing upgrades to an AC unit for example. The deal is only firm once both parties have fulfilled their conditions on the sale, often this can take months. 

Contact us to learn more about Buying or Selling Commercial Real Estate


Royal Lepage Dynamic: Commercial Division
3 - 1450 Corydon Ave
Winnipeg, MB

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