Understanding our Sales/Purchase Process:
• If you are interested in investigating one of our Client’s offerings you will need to complete a binding CONFIDENTIALITY AGREEMENT and BUYERS DISCLOSURE STATEMENT. You will need to provide a copy of a photo ID document to validate your identity (eg. Drivers License). This is to protect the interests and financial data of our Client.
• Once we have received this we will email you a copy of the ‘Expression Of Interest’ (EOI) – a12 to 14 pages detailed ‘briefing’ document with Photos, Practice Information and a snapshot of the past 3 Full Years financials (from their accountant.)
• The EOI document is for general information only, however, there is enough information in the document for you to decide if you are interested in investigating the purchase of the Practice further or if its not a Practice you are interested in. A purchase offer or commitment of any kind is not required at this time - it's not all about the price.
• The next step is for Avantia Medical to arrange a meeting between the Owner/s of the practice and yourself and to complete a tour of the facility. This is usually done after hours so as not to disrupt the practice operations or staff. The purpose of that meeting is for you to interact with the Seller/s and see if you can work with him/her/them and for the Seller to decide if he/she could work with you after the sale. After all, If he/she is going to commit to an extended period of working with you post-sale both parties need to be comfortable with that arrangement.
• If all is good following the meeting and facilities review and both parties agree to move forward then we will provide a complete copy of the Accountants financials for the past 3 full financial years and will answer any reasonable follow-up questions you or your advisors have in relation to these or any other matters about the practice. (a formal financial due diligence can occur following the signing of a Letter Of Intent)
• If the meeting results in reservations from either Seller or Buyer then we will advise that discussions are concluded and we all part friends.
• Once you have the full financials and all your questions are answered satisfactorily Avantia Medical will enter into discussions with you about the price and terms. All negotiations will come through Avantia Medical, not directly with the Seller as per the Confidentiality Agreement.
• After a verbal negotiation of price and terms, we would be looking for a firm verbal offer that Avantia Medical will discuss with the Seller.
• If acceptable to the Seller then Avantia Medical will draw up a Non-Binding Letter Of Intent (LOI) outlining the price & terms which would be forwarded to, and signed by both parties if agreeable. Whilst the option is available to the Buyer to withdraw at any time after signing the LOI (with a full refund of deposit)- the Price and Terms are fixed. I.e. there will be no re-negotiation of price
• As a minimum, the LOI will include, The Sale Price; The Period for Due Diligence; Any Finance Considerations, a tentative Settlement Date, any special conditions.
• At the time of signing the LOI a 10% Deposit from the Buyer is to be paid into the Sellers’s Solicitors Trust Fund, fully refundable in the event of a Binding written Contract (Business Sale Contract) not being formed or the Buyer withdrawing prior to the Formal Contract going ‘unconditional’.
• In consideration of the Buyer placing the Refundable Deposit, the Seller undertakes to:
(1) Take the business ‘off the market’ and not entertain other offers until such time as the Buyer either withdraws or completion (settlement) occurs.
(2) A standard Business Sales Contract is drawn up within the period stipulated in the ‘terms’ of the LOI and executed by all parties.
(3) Formal Due Diligence can commence in line with the timeframe on the Contract.
• The Business Sales Contract will be drawn up by Sellers Solicitor with the Buyers Solicitor to review & approve prior to execution.
• Timelines for Terms met with Financial Due Diligence completed to the satisfaction of the Buyer.
• Contract goes Unconditional
• Settlement, disbursements, and handover occurs.
If you have any questions about the process please email them to Managing Director, Paul Nielsen at