The 4 Common Types of Business Sellers

Sometimes like buyers, the business sellers might not be just one individual but a group or parent corporation. There are many different types of business sellers who are looking for buyers for a different amount of reasons.

Seller #1- The Spinoff

A company may be divesting a division, product line, or asset.

Seller #2- The Change of Control

The company is selling enough of itself to result in a change of control. In these cases, the owner or owners most likely receive the money from the deal.

Seller #3- The Recap

Sometimes an owner might want to still be involved in the company, but not on an owner’s level.

Seller #4- The Growth Capital

A seller may issue more stock for the purposes of raising capital to invest in the business. In this particular instance, the owner isn’t selling the company but rather selling more stakes in the company.

Want to learn more about the potential sellers and their businesses? Contact George & Company, New England’s premier business brokers.

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