Get Help Selling Your Business with Our Security Brokerage Firm

Whether you’re looking to sell your entire security business or just a few accounts, our brokerage firm can help.

At Legacy Security Consulting, we want you to feel satisfied and confident entrusting either part of or all of your business to us. That’s why our security brokerage firm does it all, from helping you to assess and build up your business in order to help sell it, to negotiating with potential buyers on your behalf and closing the deal. With us, you’ll have a partner through each and every step of the process. Learn more about our background in this industry through our security firm’s company profile.

To start, take our convenient security and alarm business valuation to establish how much your security or alarm company is worth right now, then visit our guide on the initial steps to selling your business. We highly encourage you to contact us when you have finished as well as during any of these steps to selling your business so that we can help you with any questions or concerns that you may have.

First Step in Selling your Security Alarm Business: Hire a Broker

Whether you are selling your alarm security company or just selling your alarm accounts, there are a lot of variables to consider. Are you ready to retire or change industries? Are you hoping to profit from your accomplishments while remaining in your business? Or perhaps you’re experiencing drastic changes in your circumstances that require a quick exit strategy?  Whatever your situation, contacting our security broker firm’s security consulting services can provide you with many advantages when taking the steps to sell your business, and connect you with security alarm company buyers that provide a custom fit for your needs. Some of these advantages in helping to sell your business may include:

 

  • Uncompromising Discretion and Confidentiality
  • Highly Competitive Multiples and Valuation
  • Favorable Terms and Conditions
  • Maximum Cash Distribution or Structured Payments to Minimize Tax Obligations
  • Expedited or Scheduled Closings Based Upon Your Exit Strategy
  • Special Buyer Programs Allowing You to Cash In and Continue Operating
  • Keeping Your Business Name the Same After Selling
  • Seamless or Undisclosed Ownership Transfer In the Eyes of Customers and Competitors

As professional brokers, we can assure you the best buyer for your security alarm business based on your individual needs when going through the steps to sell. For some, a private investment group would present you with the most comprehensive offer. For others, the continued goodwill and care of your customers would make a family-owned business a better fit for your security alarm company. Some security alarm business buyers even offer programs purchasing your assets upfront and allowing you to stay in business, earning additional money AFTER the sale. Whatever your expectations and individual needs may be when selling your business, Legacy Consulting brokers can help you meet them. Get started by finding out how much your alarm company is worth with our free assessment.

What Is Your Business Worth?
FREE BUSINESS VALUATION TOOL
Experienced Security Alarm Business Brokers

With our extensive security alarm company broker experience, confidential relationships, and exclusive marketing techniques, we will provide you with the highest price and most qualified alarm company buyers. All of our brokers have personally founded, bought and sold security alarm companies themselves and been in the security alarm industry for their entire career. They have personal experience from all sides of this industry and will guide you through each step during the complex sale of your security alarm business. We will professionally handle all of your negotiations while preparing and keeping you well-informed through this entire process.

 

This may be the first and only time you will ever sell your security alarm company. Most buyers have extensive experience in this area and know how to get the best deal for themselves. Having Legacy Consulting security alarm brokerage firm represent your sale will immediately give you the advantage of decades of experience to negotiate the best terms for you.

Second Step in Selling your Security Alarm Business: Maximize Your Value

Even if you aren’t ready to get help selling your security alarm business today, you should start positioning your security alarm company now for a premium sale price in the future. As an expert security brokerage firm, we understand the characteristics and expectations required to realize the maximum selling price. Here are a few of the most basic things you can start doing right now to enhance your value:

Use Only Mainstream Panels and Equipment

Trendy and start-up manufacturers may seem like a great idea because they offer discounted prices. However, it may cost you at selling time when buyers are looking for security alarm companies that they can easily fold into their existing businesses. If you’ve been using a little-known supplier, now is the time, before you sell your business, to take the step to switch. As your old customers need upgrades, switch them to your newer mainstream equipment.

 

Keep Current Contracts

If you do not have customer contracts, it is time to take a crucial step before selling your business and get each and every one of your customers to sign one. This is the most basic and fundamental thing that you should have done BEFORE you put your security alarm business up for sale. Ultimately, the signed paper contract is the single most valuable asset within your security alarm company. In addition, your contracts should be updated and annually reviewed. You should have an attorney familiar with the security alarm business review and approve not just your existing contracts but any new changes that you want to make along the way. A buyer will need copies of differing contracts, and dates as to when each contract went into effect. If any changes to your contracts need to be made, do it on an annual basis. If your contract does not contain a specific “Limit of Liability” or “Evergreen” provision, it could dramatically affect the value of your company. We can give you guidelines as to what buyers in our industry expect to see in your contracts. Please keep in mind, however, that we are brokers, and your final contract should always be approved by your attorney.

 

Understand What The “Evergreen Clause” is and Why it Affects the Value of Your Business

The Evergreen Clause is the legal term for a provision that automatically renews your monitoring contract with your customers. Customarily, if you have a one-year contract term, the Evergreen Clause will be woven into the language of your agreement and automatically renew annually. Longer contract terms automatically renew proportionately. Without this important provision, buyers value each contract at a lesser amount and some will pass entirely.

 

 

Understand the Assignability Clause and Why it’s Important in the Selling of Your Business 

The Assignability Clause is the legal language that must be in your contract in order to properly transfer ownership of your signed contracts to the new buyer. Without this important provision, you will likely be required to obtain new contracts from all of your customers which is both costly and time-consuming.

 

A Designated Phone Line

Not having your own designated phone line for your accounts is more than just a burden to bear at closing time. It affects your bottom line! Many times we have seen buyers use this one point to talk a seller down. Unfortunately, it is a fair point. If a new buyer has to physically reprogram and transfer each of your accounts to a new phone line they may charge up to $250 per account for their time and labor. Taking care of this now will save you a huge headache in the future.

 

 

Diversify Your Account Base

Your sales staff may have an edge with the commercial market. However, security business buyers are looking for strong companies that have a healthy mix of both residential and commercial accounts. They are also looking for companies that provide burglar and fire systems. Don’t pigeonhole yourself into one area of the industry. Now is the time to train your sales staff to market all these areas of interest.

 

 

Strong Existing Sales

If your company has a strong sales history, that is a big indicator to a potential buyer that they could be the lucky benefactor of your success. As a rule, a prosperous security alarm company will generate almost twice as much in new sales and service as they do in monitoring revenue.

 

 

Get Your House In Order

Financially speaking that is. Buyers know they are getting a great company when the seller is producing and evaluating financial statements on a regular basis and keeping all records up to date. Staying on top of your receivables is also critically important because many buyers will not purchase accounts in arrears.
Don’t underestimate the monetary value of maintaining good service records and keeping them current. Your installation, service, and preventative maintenance departments should all be run with a solid history and profitability. Finally, it’s also important that your systems comply with UL, NFPA, and trade customs standards accordingly. As well as keeping the base of your company in the same geographical area as much as logistically possible.

Opportunities for aquiring security and fire alarm companies for sale continue to fluctuate. Because of confidentiality concerns we are unable to provide a traditional format in which we can list all available security businesses for sale. Let us know which regions you are intending to expand and we will connect you with all active security alarm business listings in those areas.


Please fill out our form and we will contact you shortly. You can also reach us by calling (800) 755-9243