Find answers to common questions about buying, selling, and valuing businesses in Singapore.
A business sale is not guaranteed, as deal completion depends on market demand, pricing alignment, buyer due diligence, and mutual agreement on terms.
We charge an upfront retainer/engagement fee upon signing the engagement agreement, along with a success fee percentage upon successful completion of the transaction.
A general rule of thumb relies on multiples of cash flow (SDE or EBITDA, typically between 3 to 5 times) plus excess Net Asset Value (NAV/NBV). However, every business is unique and various qualitative and quantitative factors influence the final valuation.
Any time can be suitable to sell your business. Ideally, when a business is performing well and making a profit, or when it has outgrown your current resources, it is an optimal indicator for a sale. Planning for retirement or anticipating industry shifts are also strong reasons to exit.
The timeframe varies based on business condition, industry demand, and pricing expectations. Typically, selling a business takes between 3 to 12 months, though complex transactions may require more time.
Phase 1: Business preparation and valuation.
Phase 2: Marketing, buyer vetting, and term negotiations.
Phase 3: Offer acceptance and due diligence.
Phase 4: Legal documentation, deal closing, and payment settlement.
Phase 5: Handover and knowledge transfer.
Yes, we strongly recommend retaining legal counsel to advise on the Business Purchase Agreement, non-compete clauses, and associated regulatory paperwork.
Seller financing is a structure where the seller extends a loan to the buyer to cover a portion of the purchase price. This term is repaid with interest over time, facilitating a smoother transaction and demonstrating seller confidence in the business.
An exclusive listing agreement aligns interests between seller and broker. It ensures the broker dedicates maximum resources, proactive marketing, and focused advisory efforts to sell your business efficiently without market confusion.
Business brokers bring transaction expertise, valuation knowledge, qualified buyer networks, and negotiation leverage. Working with a broker protects your time, allowing you to run operations while professionals handle the sale.
Confidentiality prevents premature leakage to competitors, employees, suppliers, and customers. Maintaining discretion avoids operational disruption, staff anxiety, and loss of goodwill during negotiations.
Transition timelines vary by business complexity. Retail and F&B standard handovers typically take 1 to 4 weeks, whereas complex technical, manufacturing, or service businesses may require 3 to 12 months as agreed upon in the transaction terms.