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How to Buy a Business:
A 7-Step Process
Buying a business is one of the most significant financial decisions you’ll make. The process has more moving parts than most buyers expect - but with the right guidance, it’s structured, manageable, and rewarding. Below is an overview of how Archstone walks qualified buyers through every stage, from identifying the right opportunity to closing day.
Step 1 - Identify A Listing
The process starts with finding the right business. You can browse our active listings or work directly with one of our brokers to identify off-market opportunities that match your industry focus, investment range, and operational goals. We take time to understand what you’re looking for before presenting opportunities - so you’re evaluating businesses that are a genuine fit, not sorting through listings that don’t meet your criteria.
Step 2 - Sign NDA & Request Information
Once you identify a business of interest, the next step is signing a Non-Disclosure Agreement (NDA). This protects the seller’s confidential information and is required before any detailed information is shared. After the NDA is signed and your identity is verified, we provide you with a Confidential Information Memorandum (CIM) - a detailed document covering the business’s financials, operations, team, customers, and growth opportunities.
Step 3 - Review Information & Request Call(s)
With the CIM in hand, you review the business in detail and assess whether it meets your investment criteria. If the opportunity looks promising, we arrange an introductory call with the Archstone deal team to cover high-level questions. If you want to go deeper, we facilitate a direct call with the business owner to discuss operations, customers, staffing, and strategic fit. This step helps you decide whether to move forward with an offer before committing any formal resources.
Step 4 - Submit & Negotiate LOI
When you decide to proceed, you submit a Letter of Intent (LOI) outlining your proposed purchase price, deal structure, financing plan, due diligence period, and key terms. We facilitate negotiations between you and the seller to reach mutually agreeable terms before the LOI is signed. The LOI is non-binding on most terms, but signals serious intent from both sides and typically includes an exclusivity period during which the seller cannot negotiate with other buyers.
Step 5 - Due Diligence
After the LOI is signed, you enter formal due diligence - a structured review period, typically 30–60 days, in which you verify everything you’ve been told about the business. This includes reviewing financial statements, tax returns, contracts, legal documents, employee information, and operational details. Archstone coordinates the process, manages data room access, and keeps both sides on track. Your attorney and accountant should be actively involved during this phase.
Step 6 - Sign Purchase Agreement
Once due diligence is complete and contingencies are resolved, both parties negotiate and sign the final Purchase Agreement - a legally binding contract that defines the purchase price, deal structure (asset or stock sale), payment terms, representations and warranties, transition obligations, and any post-closing adjustments. We work alongside your legal team to ensure the agreement reflects what was negotiated in the LOI and protects your interests as the buyer.
Step 7 - Close
Closing is the legal and financial transfer of ownership. Funds are disbursed, documents are executed, and the business officially changes hands. Any transition period outlined in the Purchase Agreement - including seller consulting, employee introductions, and operational handover - begins at this point. Our team coordinates the closing process with all parties to ensure a clean handover. Congratulations: you’re now a business owner.