6 Essential Elements of Selling a Business Pt 5: Why Deal Structure is More Important Than Price.

In Part 5 of our series, the 6 Essential Elements of Successfully Selling a Business, we tackle one of the most misunderstood aspects of this life-changing event: Deal Structure. Most business owners focus on the headline price. Sophisticated buyers focus on structure. Because structure determines: • Risk • Taxes • Timing • Financing • And how much money the seller actually keeps. In this video, we cover: • Asset sale vs stock sale • Why buyers and sellers prefer different structures • Risk allocation • Representations & warranties • Escrows & holdbacks • Seller financing • Earn-outs • Tax consequences • 4 Real-world transaction examples 💡 Key takeaway: “The headline number gets your attention. Deal structure determines your reality.” In the next and final episode of this series, we discuss: Closing the Deal — and the Aftermath. 👍 If you found this helpful, like and subscribe for the rest of the Essential Elements series. Timecode: 0:00 - Intro 3.28 - The 2 Main Structures 3:53 - Asset Sale 6:08 - Stock Sale 7:15 - Example #1: Asset vs Stock Sale 8:20 - Know the Difference 9:10 - Representations and Warranties 10:05 - Indemnifications 10:30 - How the Price is Paid 12:00 - How the Deal is Financed 13:10 - Example #2: Seller Financing 14:42 - Earn-Outs 16:50 - Example #3: Using An Earn-Out 18:34 - Tax Structure 18:45 - Asset Allocation 19:37 - Example #4: 2 Businesses Compared. Resources • “How Much is My Business Worth?”, Our series on how to determine a business’ value:    • BUSINESS OWNERS: What’s My Business Worth?...   • Our website: https://WorldwideBusinessBrokers.com • Our Support Platform: https://TheBrokersRoundtable.com • The 6-Part Process of Selling a Business: https://the-brokers-roundtable.circle... • Courses: https://the-brokers-roundtable.circle... • 1:1 Coaching: https://the-brokers-roundtable.circle... #BusinessValuation, #SellYourBusiness, #BusinessBroker, #ExitStrategy, #SmallBusinessTips, #WhatsMyBusinessWorth, #businessowner deal structure asset sale vs stock sale seller financing earn outs explained selling a business business acquisition business broker advice M&A structure salebusiness exit planning tax consequences selling business