Below is a general list of items required to prepare the Business Information Memorandum or Profile. This information will also be required for due diligence purposes.
Business Overview:
- An explanation of why you are selling
- Certificate of Incorporation, if company
- Copy of Business Registration Certificate
- Copy of ABN registration
- Description of history and mode of operation of the business
- Details of business or opening hours
- Copy of Local Authority Licences
- Copy of Designs, Patents, Trademarks and Copyrights
- Overivew of potential improvements or opportunities available to a new owners
- Copy of promotional materials
Finance Reports/Information:
- Copies of Accountants Financial Accounts for the past 3 years
(Profit & Loss, Balance Sheet, Depreciation Schedule and all Notes & attachments)
- Monthly sales reports for YTD*
- Cashflow - monhtly chart if possible *
- Schedule of Add Backs for past 3 years and YTD*
- List of Aged Debtors - Current, 30, 60, 90 and > 90 days accounts
- List of contracts with contracted future income - secure and contingent
* Interim and analysis information is best provided by your Accountant - as expected by most serious buyers.
Lease/Premises
- Copy of Lease and Sub Lease (if applicable)
- Details of Special Conditions
- Contact Details of Lessor
- Details of minimum opening hours per lease (if applicable)
- Contact Details of Centre Manager (if applicable)
Taxation Records
- Copies of BAS Statements for past 3 years
- Copies of Income Tax returns for the past 3 years
- Copies of PAYG Withholding Payment Summary for past 3 years
- Copies of FBT Returns for the past 3 years
Stock on Hand/Work in Progress
- Estimate of current Stock Levels
- Estimate of current Work in Progress
Staff/Employees
- Schedule of current staff – position and start date
- Qualifications of staff
- Basis of employment – permanent, part time, casual – days and times worked
- Applicable award requirements or conditions
- Pay rates, salary or wage, superannuation, benefits per employee
Franchise/Licence
- Copies of Franchise Agreement or Licensed Territory Agreement
- Copies of franchise performance reviews
- Copies of franchise reports
- Copy of acknowledged notification to sell to franchisor
Plant & Equipment
- A detailed list of Plant & Equipment (ensuring all items exist and belong to the business)(not just the depreciation schedule or asset register)
List with identifying asset number such as serial number, model number, model year,
licence number and registration number
- Copies of signed leases, hire purchase agreements and chattel mortgages etc for equipment – encumbered assets
- Copies of rental agreements
- Payout values by Financiers for each lease, hire purchase, chattel mortgage, rental agreement
Business Systems
- Details of computer and software solutions used by business
- Confirmation that software licences are registered
- Details of back up and storage procedures
- Details of maintenance agreements for hardware, software, networks
- Details of hosting or other outsourced services