The Divestment Process

The 5-Step Strategic Divestment Process: Maximising Your Exit

Selling a business in the $1M–$50M range is a major financial event. Jason Agnew and ABBA Group implement a strategic divestment process that removes uncertainty, minimises disruption, and is singularly focused on attracting a premium strategic acquirer. We guide you from initial preparation to final settlement with absolute confidentiality. Our process is honed for the dynamics of the South Australian Business Market.

Step 1: Pre-Sale Preparation & Valuation Assessment

This stage focuses on turning your business from a successful operation into an easily transferable, high-value asset that justifies a premium price.

We go far beyond basic P&L statements. Valuation starts 6–12 months before listing by identifying and mitigating non-financial factors. This includes creating clear Standard Operating Procedures (SOPs), documenting Intellectual Property (IP), and structuring management to reduce owner dependence. If a buyer feels the business relies solely on the owner's personal knowledge, they will discount the price heavily.

Drawing on my experience as an owner-operator, I review your operational efficiency, identifying hidden value and risks that a strategic buyer will either pay a premium for or use to negotiate the price down. We fix these before the sale is launched.

Step 2: The Business Information Memorandum (BIM)

The Business Information Memorandum (BIM) is your business's comprehensive marketing and disclosure document—it is crucial for high-value sales where transparency and detail matter.

We detail how a comprehensive BIM is created, outlining the business's history, financial performance (with clear adjustments/addbacks), market position, growth opportunities, and asset list. We ensure every claim is supported by data.

Expertise Highlight: We design your BIM not for general browsers, but for sophisticated interstate and institutional buyers who need detailed, transparent data to justify an aggressive, high-multiple offer. This is the document that secures your premium.

Step 3: Strategic Buyer Identification & Market Launch

This is the key to creating competitive tension while maintaining absolute confidentiality.

We execute a strictly confidential, dual-track marketing strategy. First, we discretely approach specific strategic buyers (competitors, suppliers, or large national entities) who would benefit most from acquiring your business. Second, we broadly list the business across the secure ABBA Group national network and various overseas listing platforms. This layered approach creates the necessary competitive tension required for maximum price discovery.

Expertise Highlight: We strictly maintain confidentiality throughout the entire process until a qualified, vetted buyer has signed a Non-Disclosure Agreement (NDA) and demonstrated clear proof of funds.

Step 4: Negotiation, Offers & Due Diligence Management

The negotiation phase is where deals often fall apart. Your broker's role is to act as a neutral mediator and protector of your interests.

We manage all incoming offers, focusing the negotiations on the total deal structure—including price, payment terms, required handover/training, and warranties. Most importantly, we strictly manage the buyer's due diligence process to ensure it is time-bound, non-disruptive, and focused only on verifying claims made in the BIM, preventing "deal creep" that diminishes your final price.

My role is to shield you from unnecessary stress and protect the deal structure, ensuring legal friction doesn't derail a strong offer.

Step 5: Contract Finalisation & Settlement

The finish line requires meticulous legal and financial closure to ensure a clean exit.

We manage the final steps of securing the Sales and Purchase Agreement (SPA). We stress the importance of coordinating with specialist lawyers and accountants (who we can recommend) to ensure tax structures and legal documentation are optimised for your personal exit strategy. We ensure all final payment and asset transfers are secured, enabling a clean and financially sound break from the business.

Industry-Specific Exit Strategies

Your process is robust, but the details change based on your industry. Click on your sector below to see how our strategy delivers premium results for complex industrial sales.