22.08.2016 Views

Transition Planning - (Sellers/Second Edition)

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“<br />

THE PAVILION SALE PROCESS<br />

The successful sale of a business involves many moving parts, making<br />

it the largest and possibly most complicated transaction of your life.<br />

The Pavilion process ensures practical advice that will help you select<br />

the best professionals to sell your company while ensuring that you<br />

get the best price and terms.<br />

It’s often possible to sell your business for 50% more value if you<br />

do everything right. Unlike selling a home in the residential or<br />

commercial real estate market, the process of selling your business is<br />

deemed “inefficient” for a myriad of reasons.<br />

The purchase price for your company will vary greatly depending on<br />

who you are selling to and what type of buyer you are looking for.<br />

For example, Pavilion utilizes a dedicated marketing team who<br />

specializes in researching niche and vertical markets to identify<br />

strategic buyers from around the Globe. Strategic buyers will often<br />

pay a premium for your business.<br />

“<br />

It’s complicated<br />

EFFECTIVELY STRUCTURING YOUR COMPANY<br />

FOR TRANSITION<br />

When you sell your business you may face a significant tax bill, if<br />

you’re not careful, you could find yourself with less than half of<br />

the purchase price in your pocket. Fortunately, there are multiple<br />

opportunities to reduce or even eliminate tax, with the right<br />

preparation and enough time to implement.<br />

The moral of the story? Structure your company well in advance of a<br />

potential sale and reap the benefits; or fail to plan ahead of time and<br />

pay the price – literally to the CRA.<br />

Our team has substantial experience in establishing proactive tax<br />

planning practices to mitigate your taxes, so that shareholders take<br />

full advantage of your enterprise value benefits.<br />

Whereas in the M&A market,<br />

the selling and marketing<br />

process itself can have a<br />

major impact on the price<br />

of your company. Plan and<br />

execute the process correctly<br />

and you could increase the<br />

price of your company by<br />

upwards of 50%.<br />

16<br />

TRANSITION PLANNING GUIDE

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