Selling a Business

When selling a business, the first thing that an owner of the business should keep in mind is to know about the potential buyers. The process of business for sale by owner usually starts before 2-3 years and the owner starts reviewing the business before. Some of the steps that one needs to follow as an owner are:

Review of Business:
The review should be conducted to know the strengths and weaknesses of the business. One should check whether there can be any type of development that could multiply the profit of the business.

Get a mentor for Business:
The owner should take guidance from someone who is experienced in this field in order to increase the price of the business before selling it.

Profile of Business:
The owner of the business should analyze the strengths of the business so that he could put it the business in the best possible way in front of the potential buyers. And the profile for it is written in two pages.

Find out the best business price:
The owner should make sure that all the stakeholders are agreed upon the best deal structure outcome and the owner should come up with the best price for the business.

Structure the memorandum:
The memorandum will consist of all the points of business for sale by the owner.  It will include detailed listing of the business products, finances, strengths of your business and its possible market opportunities. Not only will it include your business but also your own assets and property.

Business Marketing:
The owner should make a plan to market his business either financially or strategically. You can be in direct contact with the managers of other companies or could advertise your business through newspapers, internet or through market advertisement.

Negotiate with the buyer:
When you have found a particular party which is interested in your business, you should negotiate with the buyer. As an owner, one should develop trust & confidence in the business and try to build a good rapport with the potential buyers. Make sure the business is in a good position so that you can increase the price of the business in front of the buyer.