Steps in selling your business
- Advise Support Office you wish to sell and discuss.
- Support Office will advise if the franchisor will issue a new term to an incoming purchaser, or if you can only sell the remainder of your term.
- Determine a suitable price - suggest no more than current projected annual turnover to allow a 3-year return.
- Determine assets/goodwill/stock split - assets should be valued at less than new replacement price ex CoinOp website.
- Advertise yourself locally.
- Talk to enquiries about the run without revealing financial details - if they are interested, ask them to sign and return the confidentiality deed.
- Meet with enquiries and possibly show them some or all of your run.
- If the enquirer is still interested, refer to the Support Office who will start a due diligence process with the franchisee.
- Franchisor will give your interested party documents to review.
- Provided all parties wish to proceed, you will issue a sale and purchase agreement to your purchaser.
- The franchisor will issue a franchise agreement to your purchaser.
- You pay an assignment fee to the franchisor of 10% of the business sale price or $5,000, whichever is lower - this covers our costs in training and setting up the new franchisee.