When Buying a Business, Choose Your Attorney and Accountant With Critical Care
Aug 27
Buying a business can be one of the most important decisions you’ll ever make. Choosing the right advisors to help you make a buying decision can be equally as challenging. Some people have suggested that selecting the right attorney and accountant can be as consequential as choosing the right bride! When you do decide to buy a business, stay clear of shortcuts and always ensure that you have an excellent team of professionals on hand.
When searching for an accountant, take a long hard look at all the pros and cons. It is important to consider what might happen if you choose poorly as you dwell on the benefits of a sound selection. An unfortunate choice may lead to complications with the taxation authorities, or it could result in you missing out on essential tax savings opportunities.
You only need to open up a “Yellow Pages” book to view the extensive listings of attorneys. This particular section is invariably the largest in the whole book. When you’re searching for a business for sale, you really should pursue the services of an attorney who is a specialist in this particular area, and who has vast experience in the domain of business acquisitions.
Always ensure that you follow these steps, so you can select the right attorney and accountant for your business:
Call in some referrals. Turn to other professionals with whom you do business, such as your bank manager, or a general practice lawyer. At present, you have a working relationship with these qualified professionals, and it seems reasonable that any recommendations which come from them, are likely to be just as professional in their work ethic as they are.
Check credentials. Once you have a final list of your favorites, carefully look through the credentials of each one. There are numerous professional bodies whose members specialize in business acquisitions and you should make sure that you check to see if your prospect is a member. Usually, the best professionals will retain membership in the more prestigious and more widely known communities. Whilst on the subject of checking, always refer to your local Better Business Bureau or do a quick Internet search highlighting the professional’s name. This will generally show up on any complaints or profile cases.
Size up their specialty. There are “horses for courses”, as the saying goes, and you need to ensure that your accountant or attorney not only specializes in business acquisition, but has also ideally worked in your specific industry. In the case of an accountant, for example, your pro should be up-to-date with the applicable tax laws for your category.
Establish rapport. Whilst you might think you have found the best professional to assist you with your business valuation or to help in the process of buying a business, take some time to establish rapport and build a good relationship. Chemistry is important and you should set out clear goals so that both of you understand the objectives.
Network. Your local Chamber of Commerce or business networking group is a great place to turn for advice and referrals. You may often find a professional during a workshop, lunch meeting or after hours function.
Take time to select an accountant and attorney wisely. Do not be afraid to change if you feel that you have made a wrong choice. When you decide that you are going to own a business, you will need all the best help that you can get.
Richard Parker is the President and founder of the prestigious Diomo Corporation – The Business Buyer Resource Center. His celebrated materials, seminars and consulting have encouraged thousands of aspiring business buyers from around the World to pursue their dream of buying a business.