Once you’ve established a strong foundation, the process shifts from internal planning to external engagement. This phase focuses on introducing the opportunity to qualified buyers and evaluating preliminary, non-binding expressions of interest, often referred to as Indications of Interest (IOIs).
The purpose of this stage is not to finalize terms, but to assess how receptive the market is to your business and to separate serious interest from casual inquiry. Early buyer interactions also guide your expectations around valuation, transaction structure, and diligence considerations.
Key activities in this phase typically include:
At this stage, owners and their advisors begin evaluating not just price, but buyer quality, strategic alignment, and execution credibility. The outcome is typically a refined shortlist of buyers positioned to advance into deeper diligence.
This phase is where preparation begins to pay dividends. Well-positioned businesses tend to generate clearer signals, stronger engagement, and more meaningful competitive dynamics.
Up next, PHASE 3: CHOOSING THE BEST OFFER, NOT JUST THE HIGHEST