 |
A Blog dedicated the latest happenings in the accounting practice sales industry. Including new CPA and accounting practice listings for sale. |
Archive
2010
2009
2008
0
Recent Posts
The Importance of Confidentiality In Selling an Accounting Practice
Submitted March 11, 2010
by Brian Naab | 3 comments
Selling an accounting practice can be a daunting task. There are a lot of components that go into selling your firm. Our firm, Naab Consulting, provides a service that can help CPA's, Enrolled Agents, Accountants and other tax professionals sell their firm confidentially.
Confidentiality is a major issue when trying to sell your firm. You as an owner do not want your employees, clients or competitors to know that you plan on selling your business. This could resolute in a major issue with clients or employees leaving. Another major hurdle is how to let every accountant know that your practice is for sale without knowing who is selling?
Professional accounting business brokers should all obtain and prequalify interested prospects for legitimacy. This means that they will collect confidentiality agreements and ask other important questions to qualify suitable candidates who may have the want, desire and financial wherewithal to buy your accounting practice.
In our business, we typically will speak to a hundred people who have shown initial interest in buying an accounting practice. After collecting the confidentiality agreements and further prequalifying the prospect, this number drops to about 10-15. These are the people that we feel are suitable candidates to buy the business and then at that time is your identity disclosed.
This is a powerful tool for keeping the sale of your business confidential. Whether you use a professional or not, confidentiality is a major concern when selling your accounting or tax practice.
Confidentiality is a major issue when trying to sell your firm. You as an owner do not want your employees, clients or competitors to know that you plan on selling your business. This could resolute in a major issue with clients or employees leaving. Another major hurdle is how to let every accountant know that your practice is for sale without knowing who is selling?
Professional accounting business brokers should all obtain and prequalify interested prospects for legitimacy. This means that they will collect confidentiality agreements and ask other important questions to qualify suitable candidates who may have the want, desire and financial wherewithal to buy your accounting practice.
In our business, we typically will speak to a hundred people who have shown initial interest in buying an accounting practice. After collecting the confidentiality agreements and further prequalifying the prospect, this number drops to about 10-15. These are the people that we feel are suitable candidates to buy the business and then at that time is your identity disclosed.
This is a powerful tool for keeping the sale of your business confidential. Whether you use a professional or not, confidentiality is a major concern when selling your accounting or tax practice.
Comments
| Paul |
September 05th, 2008 11:29am
It is nice to know that confidentiality is so highly regarded in this business.
|
| Nathaniel |
August 29th, 2008 5:14pm
Confidentiality is key. If I were selling I would definitely want it to remain confidential.
But if I were buying I would want to have a complete picture prior to prequlaifying. Why shouldn't I be able to find all the background information possible on the principals of the firm?
There's a buyer risk as well is all I'm saying. How long is the time frame typically for Naab Consulting to get through the pre-qualifying stage?
Maybe that would be a good topic fr future discussion, con
|
| Jim |
August 29th, 2008 1:46pm
I would tend to agree with this. I would not want my clients knowing ANYTHING!
|
