Seller Agreement.
Summary of the standard terms under which a seller engages Broker Venezuela to represent the confidential divestiture of a business. The binding terms are set out in the engagement letter signed prior to listing.
Scope of representation
Broker Venezuela acts as a non-exclusive or exclusive transaction coordinator (as elected in the engagement letter) for the marketing and sale of the seller's business, including preparation of the confidential information memorandum, qualification of buyers and orchestration of due diligence.
Seller representations
The seller represents that all information provided is true, complete and not misleading in any material respect, and that the seller has full legal authority to dispose of the business or assets being offered.
Confidentiality and identity protection
Listings may be published as fully confidential, name-hidden or public, at the seller's election. Identity is disclosed to qualified buyers only after execution of an NDA and qualification review.
Success fee and retainer
Compensation typically combines a retainer covering preparation costs and a success fee payable upon closing, calculated as a percentage of enterprise value. Exact economics are agreed in writing prior to listing.
Term and termination
The mandate runs for an initial period (typically nine months) renewable by mutual agreement. Either party may terminate for material breach with thirty days' written notice; tail-fee protection applies to introductions made during the mandate.