Kapso-India's-Leading-Business-Brokers

Can you Brief us about what Kapso is and what Kapso does?

We, Kapso Business Services Pvt. Ltd., an ISO Certifiedcompany, are Indiaʼs leading Business Brokerage Firm. We facilitate mergers and acquisitions of MSME Businesses.

In Simple words we assist in the entire process of Buying and Selling of Businesses. Be it a small café or a hospitality group,early-stage tech start-up or a large software company, a dental clinic or a chain of diagnostic centers, a small coaching class or a large school group; we assist sellers in the entire process right from estimating the value of the business to finding buyers.

We understand the business requirements and guide them through the entire selling procedure ensuring compliance with legal requirements to complete a successful sale.

What are the reasons someone would want to sell their business?

You might want to sell your business for various reasons – better business idea, old age, health, financial difficulties, time constraints, migration, management issues etc.

Why is a broker or a mediator needed for the transaction?

Selling or buying a business is one of the most important financial decisions a business will make. Business Brokers have the training and expertise to guide businesses through the process. They have handled many transactions and understand the complexities of selling and buying a business.

Selling a business is such a time-consuming task that, if you try to sell on your own, the value of the business may begin to decline. Negotiations can be explosive and emotional and are best handled by experienced intermediaries. Business sellers are connected to only genuine buyers.

Approximately, 90% of those who buy businesses end up with something completely different from the business that they initially inquired about. A good Business Broker provides expert guidance on properly matching you with a business that is in alignment with your skills, abilities, aptitudes, and interests as well as your realistic financial capabilities. Business Brokers scout for genuine business opportunities. They also negotiate the terms of the sale and provide a buffer for emotional highs and lows that we a l l experience

How does one Value a private business and what is the importance of Valuation

Unlike public listed companies where the market determines the price, Pricing a small business is more of an art than science. Sellers that happen to look at the big picture like the deal structure and pricing, are usually more successful in selling their business. One of the reasons business valuation is such a complicated issue is because there is no standard methodology available to value small businesses for sale. It is important for sellers to recognize that the principal reason buyers purchase is for a Return on Investment (ROI). All buyers are ultimately seeking to profit from their purchase by getting a suitable ROI so it is very critical for a seller to have a successful exit plan thought out from the point of view of the buyer.

Every seller has some value in mind which may or may not be the price that a buyer would be willing to pay. We strongly recommend a valuation done by an independent agency. At Kapso, we have experience in valuing almost any business. The volume of comparable businesses allows us to give the business owner a very good estimate of value.

How does one decide whether to Buy into expansion or start from scratch?

The decision on whether to buy an existing business or start a new one pivots mainly on both personal and financial issues. Buying an existing business is the quickest way for business expansion as existing businesses come with a proven history, brand recognition, plans, systems and inventory. Apart from a successful business model, the advantage of buying a business is that it is a cheaper option than starting from scratch, cash flows may be immediate as the sellers have already taken care of the heavy lifting associated with starting the business. Theyʼve built the infrastructure with operational necessities such as computers, phone systems, and furniture. They have developed policies and procedures, and they have long lasting relationships with suppliers, customers and various legal and financial experts. These are all the things that take an enormous amount of time, money, and energy. Additionally, there may be other intangible benefits associated with buying an existing business, such as an established brand, trademark, copyrights, as well as a proven customer base, business model and a team of trained employees.

How is the confidentiality of the transaction maintained?

Unlike the sale of a home or a commercial building, businesses do not have a “for sale” sign. Business Sales must be kept confidential; all buyers are required to sign a NDA (Buyer Confidentiality Agreement) prior to detailed information about your business being provided. This is the preliminary step in protecting the sellerʼs confidential information. We understand that public knowledge of a potential sale can affect the attitude and actions of customers, employees, competitors, lenders, suppliers, or investors, and thus the value of the company. We safeguard and release appropriate information only to parties involved. We will put your business on our website only after your consent. We advertise with or without business name disclosure.

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