How We Work With Owners
How a Sale to Us Works
A sale to us takes 4 steps, from a first conversation to closing day.
1
First Conversation
We learn how the business runs and what matters most to you in a sale.
2
Letter of Intent
If it’s a fit, we put the price and structure in writing in a letter of intent so you can review it with your advisors.
3
Diligence
We review the books, contracts and operations with you, and we keep everything confidential, including from your team until you decide to tell them.
4
Closing
We sign the purchase agreement and close, and the transition starts that day.
How We Underwrite
We Verify the Numbers Before Closing
So both sides know what the business earns before anything is signed.
Earnings From Bank Records
We rebuild earnings from bank statements and source documents, so the price is based on cash the business actually produces.
Weekly Cash Planning
We build a weekly cash model before closing, so the business has the working capital it needs from day 1.
Deal Structure
We design the cash at closing, any seller note and the transition terms around what the business can carry.
Agreements and Leases
We read every customer contract, lease and agreement before anything is signed.
Questions
Questions Owners Ask Before a Sale
What do you need from me to start?
A short description of the business and your last 3 years of financial statements are enough for a first look.
What’s my role after the sale?
That’s your call, since some owners stay through a transition period and some step back at closing, and we plan it with you during the letter of intent.
How do you pay for a business?
We pay cash at closing, and a deal can also include a seller note so part of the price is paid over time. There’s no fund deadline behind a Cobalira acquisition, so nothing forces a resale.
Do I need a broker to sell to you?
You can come to us directly, and if you already have a broker, we’re glad to work through them.
Ready for a First Conversation?
Send us a few lines about the business, and we’ll set up a call.
Cobalira Holdings LLC is not a registered investment adviser or broker-dealer. Nothing on this site is an offer to sell or a solicitation of an offer to buy any security, or investment, legal or tax advice. Figures describing the founders' prior experience relate to businesses unaffiliated with Cobalira and are not indicative of future results.