What to ask before signing an NDA

NDA is normal in business sales, but a buyer should know what they are agreeing to and what information will follow.

Confirm the opportunity

Ask what sector, province, price range and headline profit will be disclosed before signing. You should not need the trading name to decide whether the opportunity broadly fits your criteria.

Understand the restriction

Check who is bound by the NDA, how long confidentiality lasts, whether advisers may review the pack and whether contact with staff, customers or suppliers is prohibited without consent.

Know what comes next

Ask what documents are released after signature. A proper pack may include financials, lease summary, asset list, staff structure, supplier overview and sale process notes.

Keep proof of your own position ready

Sellers and brokers often ask for proof of funds or finance readiness before releasing deeper information. Prepare a simple proof pack with sensitive information redacted where reasonable.

Use advisers

If the NDA is broad or carries penalties you do not understand, ask an attorney to review it before signing. DealExchange does not provide legal advice.

Next step

Register as an NDA ready buyer when you are comfortable with the process.

Register buying criteria Search businesses

This guide is general information, not legal, tax, accounting, finance or investment advice.

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