If you’ve been contemplating retirement or a change of scenery, you may want to sell your business. And, since you have put so much hard work in...
If you’ve been contemplating retirement or a change of scenery,
you may want to sell your business. And, since you have put so much hard work into the development of its reputation and the customers that you maintain even today, there is no doubt that you want to be sure that you are getting a fair price for your operation and selling it to an individual that intends on taking care of the customers that stay through the ownership transfer. Finding these individuals, though, can be much harder than many realize.
You must first determine which type of seller you are, and then you can move on to more pressing issues such as the true value of your organization, including the potential value in the future. All of these things will impact the sales process, and when you are looking to sell your business, there are helping hands that you can bring into the mix that can facilitate the entire process without issue or hiccup.
What Kind of Seller Are You?
Entrepreneurs are interesting individuals. There are several complex elements to their personality, as it requires a “special” person to put their efforts into a company and take the risks associated with entrepreneurship. If you are quite attached to your company and are looking to sell to someone that will continue your “business legacy” of sorts, you will want to find a buyer with industry experience and a desire to continue your service record. This type of buyer profiling is much easier when you have a business broker on your team. They can help you find the right personalities for the operation, and bring them to the negotiation table.
If you are not as attached to your operation and are simply looking to get the highest purchasing price possible, you’ll want to relay this information to the broker. While many will say “I want both”, each entrepreneur leans in one direction or the other. Bringing the perfect buyers to you is one of the primary goals of your business broker firm.
Sell Your Business Without Hassle
Taking the time to build a business is commendable, but be warned that selling it is just as taxing. Much like selling your home without a realtor, the sale of a company requires incredible paperwork and knowledge of the process that most business owners simply don’t have. From helping the buyer with lending paperwork to the confidentiality and sales reports that will be necessary to provide important documentation to the buying party, everything is handled with care, as they are taking a sales commission on the transaction.
The Importance of Commission
When you are ready to
sell your business, the broker will play a huge role in the amount you fetch for your hard work. Because commissions are involved, you are assured of getting the best possible price for your operation. Some of these brokers may operate with a “turn and burn” mentality. Essentially, this means that they look to close as many accounts as possible in a given period of time. Others, which we always advocate by the way, will take the time to understand the selling party, research the industry for prospective buyers, and treat each step of the process as if it were their own company that they are selling. In a way, it is!
Take the necessary steps to find the right professionals to help you
sell your business. There is no reason to rush the process when you don’t need to. Of course, you are looking to get the sale completed as quickly as possible, but be sure that you do not sacrifice the quality of the transaction in doing so!
