Business takeover can be an opportunity to set out on the entrepreneurial adventure in the best possible conditions. After all, the existing business already has valuable assets: customers, employees, suppliers, equipment, an established name, as well as know-how developed over time. For an entrepreneur who opts for business takeover, the challenge can be just as big and exciting as founding their own small business.
With retirements and the effervescence of the entrepreneurial community in Quebec, business takeover opportunities are becoming more numerous. When a small business owner is thinking about transferring their business, they can consider several types of buyers.
- Family business takeover: The business is transferred to one or more members of the owner’s family, usually from one generation to the next.
- Internal business takeover: One or more employees acquire the company for which they work.
- Business takeover by an entrepreneur: The buyer is an entrepreneur outside the business who arrives with a fresh perspective.
Business succession planning can’t be improvised! Whether the small business is transferred to a successor who knows all its inner workings (family member or employee) or not, its takeover requires several essential steps. Once the right person is found to take the reins of the business, the terms of transfer, the transition period, the transfer of powers, and the buyer’s succession plan are all elements to be negotiated. Often, the transferring owner and the buyer will “coexist” for a certain time to ensure optimal business succession and continuity
In such a complex commercial transaction, several professionals are called upon to intervene: lawyers, notaries, accountants, and even psychologists or mediators. In addition to these professional services, did you know that SADCs and CAEs offer personalized, neutral, and 100%-confidential support to transferring owners and buyers? Their expertise in business transfer and their extensive knowledge of the business community in their region facilitate the business takeover process for all parties involved
Tools to ensure the success of the purchase of a business
(this tool is available in french only)
(this tool is available in french only)
