Nuclead Co., Inc., and Sharp Manufacturing Inc.

Location

South of Boston Down to the Cape

Industry

Manufacturing

Business Broker

Molly Hanson

Situation

The president of these businesses sought to retire and had retained a business broker nearly two years earlier to market the businesses. Without a prospective sale in sight, his attorney referred him to Molly Hanson, agent at BayState Business Brokers for Molly to be engaged to broker a sale.

BayState Business Brokers’ Approach

Molly reviewed all the existing materials that had been developed to market the two businesses and the owner-occupied real estate. New valuations were prepared, the financials recast, and a virtual tour of the businesses was added to the marketing strategy to showcase the extensive machinery and other assets including real estate.

Molly simplified the marketing strategy to clearly present to prospective buyers the cohesive business opportunity comprised of the two entities with real estate.

An individual buyer relocating his family from the Southeast of the United States emerged as a strong prospective buyer. The transaction was a perfect candidate for an SBA loan which required the buyer to move some business assets located outside the country to the United States to meet the terms of the loan.

Despite the parties being geographically apart: the seller splitting time between New Hampshire and southeastern Massachusetts; the buyer physically relocating to the area, his attorney being outside the country and assets required to be moved from Central America to the US to secure SBA financing, negotiations were successfully completed, and the sale went through without any significant hitches.

Results

The terms of the sale were agreed to include selling one business as an asset sale and one as a stock sale; enabling the buyer to operate the businesses as one entity and retain the existing ISO certifications. The transaction was amicable with the seller agreeing to work cooperatively during a transition period to assist the buyer in getting up to speed as he also navigated the relocation of his family to Massachusetts.

With Molly Hanson quarterbacking the process from effectively marketing the business through the closing, the seller achieved his goals and looks ahead to retirement.