We sold the full business, the corporation, the income stream from business in the pipeline, the systems, database, website, name, and franchise, everything except the office building. Tim and Graham say they were willing to pay the price they did because of the systems and the branding, #1 market share in our community for years. Truly the business runs itself with us tweaking systems here and there and providing leadership. Neither Joe nor I have really worked IN the business much the last year or so, and I've only been working about 3 days a week for quite some time.
We established a price based on a multiplier of an average of the last 3 years net profit. We were paid with a nice chunk down and the balance monthly over 5 years. We work in the business part time for 60 days and then continue to consult by phone/email or on occasional visits for a year, and I'll probably stay in touch for as long as they want me to....this was our "baby" and we really care about all the folks on the team. It's been nice that Tim, Graham, Joe and I really like and respect each other so it's been easy to work together on a strategy for merging our brands over the next several years. Since we still own property here and have family here, it's easy for us to be back and forth between our new place in WI and AZ. We can continue to list/sell for the team if we choose based on a split for new business originated after the closing.
This is a new concept, having a team with multiple physical locations and since I seem to be coaching agents who are building their businesses with an eye to a future exit, it's exciting for me to stay involved beyond my contractual committment. BTW, this business never hit the market. I called Tim for advise re selling since I knew he had assisted others, and after a discussion of numbers, they decided to visit and we all liked the concept and shook hands on the deal then. Hope that gives you the info you were looking for! Debbie