Illinois Home Services M&A FAQ

The first call is an introductory discussion of the business, transaction stage, goals, timing and known constraints. It is not a valuation, engagement or promise of financing or closing. Any assignment should be documented in a written agreement that identifies the responsible entity, scope, fees and duties.

Confidentiality should be designed for the specific process: blind initial materials, need-to-know access, buyer identification, NDA terms, staged disclosure, watermarked files, an access log and a communication plan for employees, customers and vendors. An NDA helps but does not replace access controls.

A useful starting set includes tax returns, monthly profit-and-loss statements, balance sheets, general ledger, bank and merchant statements, payroll, accounts receivable/payable, debt, fixed assets and job or customer detail. The records must reconcile before an earnings adjustment is treated as supportable.

Seller's discretionary earnings commonly adds one working owner's compensation and selected discretionary items to business earnings. EBITDA excludes interest, taxes, depreciation and amortization but still requires a market-based operating management cost. Definitions vary, so each bridge should state its starting point and adjustment rules.

Do not assume so. Authority may belong to a person, entity, location or municipality, and change-of-control rules vary. Build a credential register, check the issuing agency, identify the post-close responsible person and make necessary approvals or lawful coverage a closing condition.

The SBA 7(a) program can support eligible ownership changes, subject to current program rules and lender underwriting. Structure, equity, seller debt, collateral, guarantees, cash flow and management capability are deal-specific. A term sheet is not a commitment to fund.

There is no reliable universal timeline. Readiness, price and structure, buyer financing, licenses, leases, data quality, consents and issue resolution all affect the schedule. Use a dated closing calendar and track dependencies instead of relying on a generic number of days.

Fees, services and the responsible party should appear in the written engagement. For Illinois business-broker requirements, review the Secretary of State guidance and registration search. Verify any claimed designation with its issuing organization rather than relying on website copy.

No. The research and tools are educational. Counsel, CPAs, lenders, regulators and other qualified advisers should resolve deal-specific legal, tax, accounting, licensing and financing questions.