When buying or selling a business, everything should be kept confidential until the sale is completely closed. If any information about the potential sale got out to the public or in the wrong hands, many things could go wrong. Continue reading to learn about the importance of confidentiality when buying or selling a business to ensure the sale goes smoothly.
If you are looking to buy a business, you will likely only find generic information online, as companies on the market don’t want to put too many specific details online. With this generic information, buyers can decide which business they are interested, and find one that fits their wants and expectations. From there, buyers will sign a Confidentiality Agreement, which allows a business broker to give a packet of more specific details of the business. It is crucial not to break this Confidentiality Agreement, as it doesn’t only hurt the seller to have their sale publicized, but it also hurts the buyer. This is because people could assume that the business is being sold because it is failing, although the truth is that most companies sold are very profitable. However, the public could have the wrong idea if information leaked, and it could hurt the operation of the business.
What You Agree To
When you sign a Confidentiality Agreement, you are pledging to keep all proprietary information made available to you regarding the selling and the business to yourself. This may include financial information, asset lists, trade secrets, customer and vendor lists, and employee information. There is usually a period of a few years that the confidentiality agreement is in place, so you can’t disclose any of the proprietary information even after the sale is closed. However, you can communicate certain information to employees and representatives that are actively involved in the business.
Atlantic Business Brokerage Confidentiality Form
Atlantic Business Brokerage takes confidentiality very seriously, so we have a Confidentiality Form attached to every sale listed on our site. If you are interested in any of the current listings, be sure to download to Confidentiality Form, complete it, and return it via the fax number or email address located at the bottom of the form. We will then happily contact you and provide specific data for the business opportunity.
Buying And Selling With Atlantic Business Brokerage, Inc.
At Atlantic Business Brokerage, our mission is quite simple; we help sellers sell businesses, and buyers buy businesses! Over the past 30 years, ABBI has facilitated the sale of countless commercial properties, businesses, and franchised locations. With our unparalleled knowledge of the business purchase and sale industry and our network of contacts, we offer services to both buyers and sellers that no other brokerage firm can match.