BEST PRACTICES 

(While Interacting with FSI) 

For business owners:

v business owner should ensure their business profile is up to date with the latest financial number which are factually correct.

v It is important to have a business plan and a valuation done for your business well in advance, so expectations are are clear. 

v Revel in advance if there are any negative about your business rather than the investor finding it himself during the due diligence exercise. 

v Don't rush the other party during the sale process which may affect the transaction process. Provide sufficient time for the other party to take decision.

v When an introduction is made send a quick note on FACTSHEET to schedule a discussion call instead of directly calling up the party.

v During the call,the first few minutes could be utilized to introduce yourself, build rapport and set the tone for the discussion.

v Basic discussion on the business & transaction should be initiated in the first call itself.

v Do your research about the user's background and his/her business before you decide to meet in person. 

v when meeting someone for the first time, do not meet in a secluded palce, or invite strangers into your home.

v Ideally, the financial statement & other sensitive document should be sent to apotential investor only after an NDA has been signed. 

v Please ensure you interact with your introductions only through the FACTSHEET platform. In case the introduction is no longer available on your dashboard, then you should take precautionary measures and immediately stop interacting with that specific investor/ buyer/advisor. 

v Do not ever pay any kind of token advance or deposite money before any transaction is made with the investor. No genuine investor/buyer would ask for such a token advance.

v Financial advisors who request for a retainer/upfront fee should be evaluated properly before entering into any kind of agreement. be aware that not all transactions close successfully even with the best of financial advisors. 

For Buyers and Investors:

v Investor and Acquirers should that their profile reflects their current investment capacities & business activities. 

v It is a good idea to share your source of funds, and your past investments and acquisition business owner while pursuing investment/business/sale opportunity to enhance the transaction speed. 

v Mention very clearly if you are strategic or financial investor i.e. if you are purely interested in financial return or you have other synergies with the business.

v Don't rush the other party during the sale process which may affect the transaction process. provide sufficient time for the other party to take a decision.

v When an introduction is made send a quick note on FACTSHEET to schedule a discussion call instead of directly calling up the party.

v During the call, the first few minutes could be utilized to introduce yourself, build rapportand set the tone for the discussion.

v Basic discussion on the business & transaction should be intiated in the first call itself.

v Do your research about the user's background and his/her business before you decide to meet in person.

v When meeting someone for the first time, do not meet in secluded place, or invite strangers into your home.

v Please ensure you interact with your introduction only through the FACTSHEET  platform. in case the introduction is no longer available on your dashboard, then you should take precautionary measures and immediately stop interacting with that specific business.

v Do not ever offer to pay money to somebody who demands a token advance before any transaction is made.

v Financial Advisors who request for a retainer or upfront fee should be evaluated properly before any kind of agreement. Be aware that not all transactions close successfully even with the best of financial advisors.