What is Deferred Consideration?
When it comes to buying or selling a small or medium-sized business, one term you’ll often hear is deferred consideration. It’s a core component of the Valloop model and what makes employee ownership more viable.
Check out our videos below to learn more about what deferred consideration is, how it works and why it’s beneficial to employee ownership.
Why & how it works
Deferred consideration simply means the seller receives part of the agreed price on day one and the rest over time. Reducing upfront costs and limiting the need for personal borrowing.
The benefits
It's a tool that balances value for sellers and opportunity for employees - while helping to keep the business stable. For the business, it reduces upfront costs and avoids excessive borrowing. For the owner, it allows them to realise full agreed value over time. And crucially, it makes employee ownership more possible.
Deal protection
The last piece of the puzzle is protecting the deal. We help make employee-led transitions viable by providing a mechanism that reduces uncertainty during the process and supports completions. Full details and terms and conditions are available on request.
Our pricing...
We’ve worked hard to structure our pricing around the business, not hourly billing.
Check out our pricing page for all the details.
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Whether you're a senior employee leader or business owner, anyone can subscribe and take the first step to employee ownership.
Still not sure which option is right for your business?
Connect
Connect with us for free. For senior employee leaders and business owners wanting to explore employee ownership and find out if it is the right route for them.
- Videos, Guides & Templates
- Email Support
- Market Insights
Grow / Exit
Grow and Exit take the pain out of a lengthy transition. You'll be assigned a dedicated guide and full access to the Valloop Exchange where you can collaborate with colleagues and become officially employee owned.
- Everything in Connect plus:
- End-to-end EO Process
- Dedicated Support
- Governance
- Legal Templates
- Deal Protection
