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Selling a Legal Information Services Business

There are no guarantees when you sell a legal information services business. But our tips will equip you with the information you need to increase the likelihood of a successful sales outcome.

Dire economic forecasts have forced many legal information services business sellers into hibernation. Instead of listing their companies now, they're hanging back until they see signs of an economic recovery.

Too often legal information services business owners fail to receive fair market value for their businesses. That's unfortunate because all it takes to get a fair price in today's market is ample planning and an awareness of what's important to buyers.

Equipment and Inventory Concerns

It's incumbent on buyers to commission their own appraisal of your legal information services business's physical assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. A pre-listing appraisal also gives you the opportunity to document the condition of your legal information services business's assets and possible even make repairs or upgrades to increase the total value of the operation.

Laying the Groundwork

A successful legal information services business sale begins with careful planning. Although you are convinced your business has value in the marketplace, the planning process establishes a framework for communicating its value to prospective buyers. In our experience, it pays to solicit the advice of a professional business broker as soon as possible. A good broker will guide you through the preparation stage and make sure you've covered all the bases. Specifically, brokers can advise you about the preparation of financial statements and other documents buyers expect to see in a premium legal information services business opportunity.

Legal Considerations

There is no way around the requirement to hire professional legal assistance when you sell your legal information services business. Competent legal counsel ensures that the sale documents are in proper order. Furthermore, a good lawyers provides the counsel necessary to navigate the tax and liability issues that surround a business sale. We recommend hiring an attorney early in the process to gain insights about the legal consequences of various sale outcomes.

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