When you actually get involved in pursuing a company purchase, you quickly realize that your
success rate of finding your “ideal” company to purchase is a direct result of your ability to
effectively locate viable potential acquisition candidates and cost effectively DIS-qualify them
via your own, “well honed” business purchase criteria checklist.
One of the first things you want to do in the development of your business purchase process is
establish a list of “initial” DIS qualification questions for use with business owners.
We use the term disqualification because you clearly throw away a lot of hay to get to the needle
in the stack! This list of questions will add a tremendous amount of efficiency to your business
purchase methodology and make the job of your merger and acquisition intermediary of choice
For simplicity of use, we have listed our most practical questions categorically. You are
encouraged to edit, add or delete any of our listed questions. Our list of questions cover many
fundamental business attributes, but not many of the subjective benchmarks to be considered in
any business purchase disqualification process. Again, you can add whatever number of
questions that correlate to your own personal purchase criteria or preferences, business
experiences, knowledge and risk/ reward tolerance levels.
Suggested Initial Acquisition Qualification Questions:
INITIAL / BASIC QUESTIONS:
• Why is the business for sale?
• How long has it been for sale?
• Has there been other formal purchase offers made to date?
• Will the business sale include any transfer of real estate?
• What is the ownership structure of the company?
• How is the company legally organized?
• Who with the business will be involved in the negotiation of the sale?
• What are the owners desired transition plans?
Is senior management willing to stay and invest in the new company?
• Does a new company leader candidate exist in the company now?
• Who knows the business is for sale? How confidential is this su