I’m selling. What do I tell my customers?

Dear Aunty B,

We are in the middle of selling our small business to a new owner, who will serve our existing customers.

We would like to send a letter to our customers advising them of the change of ownership, thanking them for their custom etc…. We will also include the name and details of the new owner. Do you have handy a sample letter that we could look at to get us started on the letter? Or do you know where on the internet I could find one?

Cheers,
Ernie

Hi Ernie,

Good luck with the sale!

Don’t even start to look on the internet – you’ll be there all day.

I’ve asked our resident sales guru, Tom McKaskill, to draft up a letter for you. I am sure our community will find it handy!

And make sure you go to the Business for Sale section for lots of stories on how to deal with your key managers and what your competitors are likely to do.

Here’s the letter.

Dear customer name,

1. We are writing to let you know we have sold our business because….
2. The value in the business is created through the support of customers like yourselves, and so we have worked hard to ensure that the on-going business recognises that customer interface support and processes are embedded in the underlying culture.
3. The new owners, XXX, recognise that the price they are paying includes a premium for the goodwill that has been created through our good relationships with our existing customers, and so they are keen to ensure that they protect that value by working hard to keep existing customers happy.
4. We have sought out a buyer who really appreciates the business, understands how to operate it properly, and is keen and capable of developing its future potential.
5. The existing owners will be staying on through a transition arrangement to ensure a smooth handover of the business.
6. No major changes are planned for the business in the short term. The new owners, however, will be seeking customer feedback to identify how additional customer value can be created.
7. The employees of the business support the sale and are positive about the future under new management.
8. Existing owners and the new owners are available to answer any questions.

By the way, see our recent Top Story “Why aquisitions fail: Top 6 blunders”. And here are some specific stories from the Business for Sale section that you might find helpful.

• >> For sale: Should I tell my staff?
• >> How do I reduce risks to the buyer?
• >> Why is it important to look beyond the sale date
• >> The value of a good reputation
• >> Can growth potential improve your sales value?
• >> Due diligence: An ally in the vendor’s hand

To get a copy of Fast Forward: Acquisition Strategies for Entrepreneurs go to www.tommckaskill. Tom McKaskill also writes a regular column for SmartCompany.com.au on buying and selling businesses.