Midwest Education Research Firm Sold for $200K in 127 Days

About the Business

• Industry: Education Services – Survey Research & Advisory for School Districts

• Location: Midwest (fully remote)

• Size: $200K–$250K in annual revenue, $50K–$75K in cash flow

• Sale price: $200,000, including a $50,000 revenue earnout (asking price: $200,000)

• Listing to signed LOI: 127 days

• Signed LOI to close: 27 days

The Challenge: Stepping Back Without Walking Away

The owner was ready to retire from long drives to client meetings but still wanted to stay involved in sales.

“I'm mostly ready to retire and can't travel as easily as I used to. We access a lot of clients by car and 7-8 hours round-trip in my car is daunting.”

127 Days to a Signed LOI: How Baton Held the Price

What happened at every stage

1. Valuation: Baton set the asking price at $200,000, about 2.7 times cash flow, for a remote business with repeat district clients.

2. Buyer Outreach: 87 buyers viewed the listing and 22 opened the data room. When traffic slowed around day 74, the owner offered to lower the price, and the Baton advisor kept the price where it was.

3. Offer Selection and Negotiation Support: Seven weeks later, a first-time buyer submitted an LOI at the full $200,000 headline price. The Baton advisor walked the owner through the terms in plain English before he signed.

4. Diligence and Closing Support: Baton set a dated closing calendar at kickoff and pushed the owner to clear closing paperwork early so nothing would hold up funding. The deal closed 27 days after the LOI.

The Results

The buyer is an individual who wanted a business he could own without being on site, with the founder handling sales and client relationships. Through Baton's process, the business:

• Sold for $200,000, 100% of its asking price, including a $50,000 revenue earnout

• Closed with $100,000 in cash and a $50,000 seller note, with no bank financing

• Closed 27 days after the signed LOI

What's next for the owner?

The owner stays on for 36 months as an independent contractor leading sales and client relationships.

Advice and Lessons for Future Sellers

1. Don't negotiate against yourself. Holding the price on day 74 kept the full $200,000 on the table.

2. Decide what role you want after the sale. The owner wanted to keep selling, and the deal made room for that.

3. Line up closing paperwork early. Clearing closing paperwork ahead of time kept funding on schedule.