Buying a business can be a ton of work. Finding the right business, negotiating, due diligence and financing are just a few things that business buyers spend a lot of time on. This can lead to business transition items being neglected. Professional business buyers like Private Equity Groups look at these items very closely and you should too. Here are 4 critical transition issues that buyers neglect:
Bookkeeping: If the current owner or their spouse has been doing the bookkeeping you may need to fill this role. This is not a full-time position and is ripe to be outsourced to bookkeeping companies while you concentrate on running and growing the business.
Insurance: It could be years since it has been reviewed professionally and the insurance market changes from month to month. Make sure you get quotes from multiple providers and understand what your insurance covers.
Merchant Processing: How does a customer pay you? Merchant Processing companies are constantly updating their processes and technology and there are deals everywhere. Take a recent bill from the current merchant processing company and see what another company may offer you.
Human Resources and Payroll: You just acquired a business, announced to the employees, everyone is excited, and the payroll gets messed up. Don’t let this happen to you. Understand the current payroll system or service provider. Additionally, having an outsourced HR Company handle employee benefits, PTO, and other backend office work can help get you back to working on the business and out of the back office working on scheduling and other tasks that don’t help your company make more money.
Need help with these transition issues? Sunbelt’s partner, Onward for Business, understands each of these transition items and has done the work to negotiate with companies in each of these spaces, Bookkeeping/Accounting, Insurance, Merchant Processing, and HR/Payroll, to offer the best pricing and service to our business owners. Visit onwardforbusiness.com or email email@example.com for more information.