This document provides a comprehensive guide for potential buyers to understand a business for sale, structured into several sections.
The first section, "Seller Bio," offers insight into the seller's background, akin to a LinkedIn profile or resume. It usually includes education, past experiences, and details about any current or former businesses owned by the seller.
The "Executive Summary" serves as an elevator pitch, encapsulating the core aspects of the business. It presents essential details such as the type of business, its age, industry, model, location, and the founders involved.
In the "Highlights" section, the strengths and opportunities of the business are discussed. This includes highlighting what makes the business attractive and identifying potential areas for improvement.
The "Operations" section describes the daily activities required to maintain business operations. It specifies the volume of tasks such as customer support interactions and estimates the weekly time commitment needed.
The "Customers" section delves into the clientele, offering an overview of customer profiles, segmentation, acquisition, and retention strategies to give potential buyers a clear understanding of the customer base.
The "Financials" section lays out the financial health of the business, explaining any changes in revenue or profit, and addressing any financial irregularities like seasonal trends.
Finally, "Seller Notes" provide an opportunity for the owner to convey additional insights about the business's history and any crucial elements of the sale. This structured approach aims to equip potential buyers with all necessary information to make informed decisions.
Flippa’s platform is free for buyers. Here are our tips for first-time buyers:
Before making an offer
1. Look for verified sellers. Sellers should verify their email, phone, and government ID. When a seller has completed all verifications, we identify them with a checkmark like this:
2. Review financials. Financials are seller-provided inputs. Always ask for verified financials. Ask for a tax return or request access to their dashboard. if it’s an ecommerce store get a transaction report.
3. Review traffic. Sellers can grant you access to Google Analytics. Ask for read-only access to verify site traffic.
4. Schedule a call. Communication is key. The best way to find out more is to speak directly with the seller. For your protection, keep all communication within Flippa.
5. Make the offer on Flippa. We’re here to help. Flippa does not charge buyers and by making an offer on Flippa you’ll get access to our post-sales support team.
1. Agreements & Contracts.
Connect with a US-based lawyer or purchase asset-specific template legal documents via Flippa Legal.
2. Conduct Due Diligence.
You can conduct this yourself or use our trusted network of industry-leading due diligence partners. They can provide in-depth analysis, identify hidden risks, and independently assess the value of the business. Learn More