In order to keep potential buyers focused, it is important to set milestones, and stick to them. We generally allow around three weeks from commencement of marketing to the deadline for non-binding offers. During this initial period, we will carry out site visits with potential buyers, and motivate them to make high initial bids. We then help you decide which potential buyers should be invited to carry out due diligence. Each one has to be carefully assessed to ensure they have the means, and will, to acquire the hotel.
The virtual data room will then be opened for a period of between four and six weeks, to allow the advisors of potential buyers to carry out legal, tax and other due diligence. We will host this data room, you will be responsible for uploading all the information required. We will provide a guide as to what documents should be shared.
Once the data room closes, potential buyers will be given a deadline of a few days to provide a final binding offer. We usually ask them to provide a marked up sales contract with this offer, as that cuts out protracted negotiating once the buyer is identified.
Once final binding offers have been received, you can decide which buyer you would like to conclude the deal with – and we can move on to identifying and complying with all closing provisions.