This document is a comprehensive guide for potential buyers interested in acquiring a business. It starts with a "Seller Bio" that provides a snapshot of the seller's background, akin to a LinkedIn profile or resume, including their education, past experiences, and any businesses they currently or previously owned. Following this, the "Executive Summary" serves as an elevator pitch for the business, detailing its activities, type, age, industry, business model, and location, as well as information about the founders.
In the "Highlights" section, the business's strengths and opportunities are delineated, making a case for why it's a solid investment. This includes identifying areas ripe for improvement. The "Operations" segment explains what is required to maintain business functionality, detailing the volume of tasks such as customer support emails and calls, along with the estimated weekly time commitment needed.
The "Customers" section provides insights into the nature of the business's clientele, offering details on customer profiles, segmentation, acquisition, and retention strategies. The "Financials" section describes the business's financial health, interpreting any growth or decline in revenue or profit, and explaining anomalies in the profit and loss statements, including any seasonal fluctuations. Finally, in "Seller Notes," the business owner comments on the business's evolution and mentions any other important aspects of the sale, giving potential buyers additional context and points to consider.
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