Business Buyers

Crossroads Business Transition Group (CBTG) is a professional consulting and business transfer advisory firm. CBTG helps those seeking an investment, ownership, and/or expansion opportunity.

Our business buyer consulting services are segmented as follows:

  • Private Equity Groups, Companies, Experienced Individual Buyers
  • First-Time Individual Buyers

CBTG buyer services are customized to the needs, knowledge, preferred approach and specific target(s) desired. We work with each Buyer in one of three ways:

  • As Listed – Anyone is welcome to investigate our current listings; with certain restrictions that will maintain the confidentiality of the Seller, of course.
  • Casual Search – CBTG will accept your target specific criteria and include those business types in our marketing programs.
  • Proactive Search – CBTG will, in effect, act as an outsourced M&A capability.

Private Equity Groups, Companies, Experienced Individual Buyers

Crossroads Business Transition Group’s Proactive Search service provides professional, customized, right to find services. Our techniques are highly effective and will identify targets that specifically meet your acquisition goals. Our techniques are designed to reach those business sellers that are not yet on the open market. This significantly expands potential opportunities beyond those currently available via the multiple listing services.

Prior to the launch of any campaign, CBTG will:

  • Thoroughly understand your acquisition strategy and target specific criteria.
  • Define and agree upon potential seller contact procedures.
  • Define and agree upon customized executive summary format to introduce prospect.

During a Proactive Search campaign, CBTG will:

  • Contact target-specific companies which are likely to meet your acquisition criteria.
  • Filter those contacts to those that will highly likely meet your acquisition criteria.
  • Manage the potential sellers’ expectations.
  • Facilitate information exchange.

When a target is identified, CBTG will provide appropriate support of the offer, due diligence, and closing processes.

Our goal is to save you time and expense and provide access to unique acquisitions while simultaneously building a relationship leading to additional opportunities.

First-Time Individual Buyers

We all know the #1 American Dream is home ownership. A close second is business ownership. Most have said, at one time or another, I want to own a business. So why isn’t this so? Why don’t more people own a business? There are a myriad of reasons but they all add up to 97.5% of individual “buyers” will never be business owners. In fact, 95% of those this section applies to will never even make a formal offer.

Hopefully, the following will help you determine if you fit in the 2.5% of individuals that will become a real buyer and, ultimately, a business owner.

  • Are you willing to sign a personal note collateralized by your house, condo, or whatever you own and call home? You see, anyone providing financing expects that loan to be backed by some form of tangible asset. For most of you, that means your home. The lender wants to be sure you have skin in the game. In other words, if you aren’t confident enough in your future success to do this, the lender won’t be either.
  • Did you know that you will likely need 30% to 50% of the purchase price as a down payment? You will also need working capital and you should seek legal advice of an attorney and financial advise of an accountant. Their costs can be $100 to $400+ dollars per hour. Well worth it, but it can be expensive.
  • Are you willing to provide a financial statement verifying your income, assets, liabilities, and net worth? A lender will require it and so do we.
  • Have you educated yourself on the business transfer process? Assuming you're OK with all of the above, you need to know what is involved. It is not easy to find a target, negotiate an offer, complete due diligence, finalize a contract, and complete the sale when every step is a surprise. Haste makes waste, but delay is devastating. This is not the time for on the job training, but, it is a major reason why 50% of formal offers fail to lead to a purchase.
  • Have you identified the industry, sub-industry, market segment, and type of business you want? Have you at least narrowed it down to 2 or 3. Have you begun a business plan outline including at least the major metrics for that/those business(es)? The lender will typically require some form of a business plan as part of the loan approval process. You should have one even if they don’t.
  • Do you have experience in the type of business you want? Do you have related/comparable experience in a different business/industry? If not, do you have a plan to get that experience? This could be the difference in getting final approval for financing.
  • Have you kept your credit rating in good shape? If not, have you implemented a plan to improve it? This, too, could be the difference in getting final approval for financing.
  • Of course, if you are one of the very few with enough liquid and tangible assets, you can circumvent most and even all of the above leading to business ownership with less obstacles. In other words, you can definitely fit in the 2.5% category assuming you can accept and deal with the inherent risk. And, yes, all others will need to be able to do the same.

Well? Are you a fit for the 2.5% category? If so, we will be delighted to work with you and look forward to your initial contact.