Prior to negotiating deal, you must establish clear and achievable goals. Ten practical tips for successful negotiations are as follows:

Focus on goals. Do not expect to win every battle. Understand other party's wants and needs. Do not get emotional. Be flexible. Listen to other party. Never be afraid to walk away from a deal. Never threaten to walk from a deal unless you mean it. Deal honestly and openly. Do not over negotiate. Letter of Intent

Once both parties agree on major terms and price for business, they customarily enter into a formal agreement known as Letter of Intent. This document outlines general business terms between buyer and seller. These terms should include names of parties, business for sale, agreed purchase price, and terms and structure of agreement. This is not a binding contract, but it is used to provide information on mutually agreed upon terms that are to be incorporated into formal, legally binding contracts. At this stage, a deposit is requested from buyer, which would be held in trust.

Due Diligence

To successfully sell your business, it is essential that you know how to communicate its appeal, and understand factors that potential buyers have to consider.

Marketing Materials

There are hundreds of businesses for sale at any given time. To make your business stand out, you need to provide potential buyers with information that help them to make informed decisions. A descriptive and well-organized selling memorandum will help in sale process.

The memorandum would provide your contact information, a brief description of business, business location, hours of operation, business asking price, annual revenues, net earnings, number of employees, ownership description, number of years established, leased or owned property, and reason for selling. You should also include a few paragraphs to describe benefits of owning business.