As with any type of work, how to evaluate a company and how you have to manage a sale of business activities, its own jargon. This pair of articles are designed to yield to simple explanations short and practical English for some commonly used terms of grooming.
Grooming – The process of preparing a business plan to make it attractive for sale, a buyer. This can take up to two years.
Heads of Agreement – the document that the price is fixed for the sale and the most important terms, subject to due diligence and contract has been agreed.
Heads of Terms – see the heads of agreement.
Leaflet – see package sales.
Insolvent – unable to pay its debts as they mature or to the indebtedness. The Insolvency Act contains a number of tests, including the failure to respond to a legal request, or a liability, the decision by a court as evidence of insolvency to pay. » Read more: How to Whitewash Your BIMBO, A Business Sale Phrase Book – 2 – Grooming to Yield
