When you own a business, you may well get to a point and time where you consider selling it.
That said are you thinking now is the time to sell your business and not further down the road?
If you said yes how best to go about positioning your company to get the best sale possible?
Remember, the last thing you want is a sale that is difficult to process; you get much less money than you wanted and so on.
Be Smart When Looking to Sell
When you have come to the conclusion you would like a change from being a business owner, here are a few keys:
- Getting the price you were set on – The last thing you want to do is sell the company and regret the price you got for it. That said do all you can to get as close to or even surpass the asking price you want. This means that you have a true sense of what your company is worth to a potential buyer. Make sure you have a firm grasp of what your company’s assets and liabilities are. If your company is heavily in debt, any chance that a prospect looking to buy your brand would take on that debt? If they do, you can expect to get below your asking price more times than not.
- Are employees going to be in the mix? – Since you have been an employee, the hope is you know what it is like for workers when their company is put up for sale. Needless to say, they can have many emotions running through their minds at such a time. So, do your best to comfort any employees you have. One of the best things you can do is be upfront as possible with your staff. They deserve to know as much as possible about the pending sale. Depending on who buys the company if a sale goes through, they may look to hire some or all your workers. Having continuity in place as the brand transfers to someone can be quite meaningful.
- Know your industry like the back of your hand – As you look to be selling a business, how well do you know your industry? Knowing it like the back of your hand is key. One reason for that is you well have a better sense if now in fact is a good time to sell. You do not want to sell too soon or too late for that matter. Do all the research you can on your industry to see if now makes sense to sell.
- What may be next for you? – Finally, do you have a good sense of what would come next for you should your company be sold? From buying a business to working for someone to even retiring, weigh your options. At the end of the day, you want to be in a good financial position for the foreseeable future.
As you contemplate the idea of selling your company, how good of a decision will it be?