Bluestone Apps, a prominent app development company based in Knoxville, Tennessee, has been successfully sold after a prolonged negotiation process.
The sale was facilitated by IAG’s client services team, with David Michaelson and Mathew Denike leading the effort. This marks a significant milestone for Bluestone Apps as it transitions to new ownership after a complex and challenging journey.
Overcoming Obstacles in the Sale Process
The sale of Bluestone Apps began in December 2022, when Michaelson first engaged with the seller. From the outset, the negotiation was fraught with challenges, particularly regarding the seller’s firm stance on deposits. The seller insisted that no deposits for unfinished work be transferred to the buyer, a condition that made securing offers much more difficult.
In the first quarter of 2023, Michaelson found a buyer and negotiated seller financing to facilitate the transaction. However, due to unforeseen personal circumstances, the buyer had to leave for India and was unable to continue the process. Michaelson then identified three additional potential buyers, with the seller ultimately selecting one in the third quarter of 2023.
Negotiations and Delays
Even after a buyer was chosen, negotiations were prolonged due to disagreements over the deposits. Michaelson played a key role in mediating between the two parties, working tirelessly to resolve disputes. Further delays arose when the original buyer returned from India, prompting the seller to reconsider their decision. Ultimately, the seller decided to move forward with the new buyer, but additional complications emerged when the buyer, based in Texas, required legal documents to be prepared by a Tennessee attorney.
Months passed as the buyer sought legal assistance for both the paperwork and the closing process. During this period, Michaelson continued to mediate, ensuring that both parties remained engaged in the transaction. The seller expressed frustration, even threatening to withdraw from the sale due to the buyer’s insistence on the deposit issue. However, Michaelson successfully negotiated a price reduction to account for the disputed deposits, allowing the deal to proceed.
A Successful Conclusion
After more than a year of negotiation, patience, and compromise, the sale of Bluestone Apps was finally completed. The perseverance of both the buyer and seller, along with the dedicated efforts of Michaelson and the IAG team, ensured the successful conclusion of this complex transaction. Bluestone Apps now embarks on a new chapter under its new ownership, poised for continued growth and success in the app development industry.
