Selling your web design business can be a daunting task. There are many steps involved in the process, but at Freshy we are committed to making the process as easy and transparent as possible for you and your clients. From evaluating potential buyers to signing the final agreement, our team will walk you through the process of a seamless and hassle-free sale.
Preliminary conversation with ownership to evaluate cultural, product, and financial fit
The first step in selling your web design business to Freshy is to have a preliminary conversation with our ownership team. This conversation is an opportunity for both parties to get to know each other and to evaluate whether there is a cultural, product, and financial fit.
During this conversation, we’ll do a deep dive into your organization’s background, and typically ask questions about your business’ financial performance, client base, growth potential and more. We may also ask about your team and processes, as well as your plans for the future. Our goal is to get to know you and the business so both parties can feel good about the transition.
One of Freshy’s core values is open and honest communication and you can expect that during this conversation. We’re looking for a business that aligns with our goals and values, and need to have a clear understanding of what your business offers and how it is currently functioning in the market.
NDA
Once you have had a preliminary conversation with Freshy’s team and both sides have expressed interest in moving forward, it’s time to sign a non-disclosure agreement (NDA). An NDA is a legal document that protects your confidential information and prevents a potential buyer from sharing it with others.
The NDA typically includes a list of the types of information that are considered confidential, such as financial records, client lists, and proprietary software. It also includes provisions for how long the NDA will remain in effect and what happens if either party breaches the agreement.
By signing an NDA, you can ensure that your confidential information remains protected throughout the due diligence process.
Letter of intent/offer
After signing an NDA, Freshy will issue a letter of intent (LOI) or an offer. This document outlines the terms and conditions of the potential sale, including the purchase price, payment terms, and any contingencies.
The LOI or offer is a non-binding document, which means that either party can back out of the deal at any time. However, it provides a framework for further negotiations and sets the stage for due diligence.
Due diligence
Due diligence is the process of investigating the business to ensure that there are no hidden liabilities or risks. During this process, Freshy will review your financial records, client contracts, employee agreements, and other relevant documents. We may also conduct interviews with your team and clients.
The purpose of due diligence is to identify any issues that could affect the sale of the business, and to ensure that we have a clear understanding of the organization.
Asset purchase agreement signature and payment
Once due diligence is complete, Freshy will issue an asset purchase agreement (APA). This is a binding legal document that outlines the terms and conditions of the sale, including the purchase price, payment terms, and any contingencies.
The APA will typically include provisions for how the business will be transferred, including the transfer of assets, contracts, and intellectual property. It may also include provisions for how the employees will be transferred, if that is part of the initial discussions and agreement.
Once the APA is signed and the purchase price is paid, the sale of the business is complete.
Transition
The final step in selling your web design business to Freshy is the transition process. This process involves transferring the business to Freshy and ensuring that there is a smooth handover of operations. With decades of experience in web design, our team has the depth of experience to efficiently and effectively onboard your clients with a seamless transition. You can be as involved in the transition process as you’d like, and we’ll come to an agreement on the timeline of the transition.
Overall, selling your web design business to a company can be a complex process, but with the right approach, it can also be a rewarding one. By preparing ahead of time, being transparent and honest, and working with our experienced team, you can successfully sell your business and move on to your next venture. The key to a successful sale is to find the right buyer who shares your values and goals, and to work together to ensure a smooth transition for all parties involved.
About Freshy
Looking to sell your web design business?
Meet Freshy, the world’s leading WordPress agency.
With a dedicated team and long track record of successful mergers and acquisitions Freshy is committed to making the process as efficient and seamless as possible for you and your clients. Learn more about the process.
