Selling your business involves emotions as well as the market. Each one of these has it’s own set of complexities. Business owners need to understand both the process and the emotional environment that this process is set against. Just like the business plan you created when you began your business, an exit strategy also requires a plan. Working through the planning process will set out the steps to follow. It will also answer many of the questions that will arise as you scrutinize your business from the point of view of the buyer. Here are some steps to take to ensure a successful sale.
Set The Stage When Selling Your Business
Think about the first impression the business makes on a prospective buyer. Take a fresh look around your facilities. How does the outside of the building look? Are there weeds poking up through the pavement in the parking lot? Is the sign for the business weathered and dingy? Could the outside use some paint?
Look at the inside too. What does a prospective buyer see when they walk in the door? How does the reception area look? Are the workspaces light and bright? Is your technology up to date? What shape is the physical equipment in? First impressions mean a lot.
When Selling Your Business Get The Records Straight
Make sure the books are in order. What’s inside the books is very important. Poorly prepared financial statements and sketchy records red flag a buyer. This tells the buyer that either the business is poorly run or is not being truthfully presented.
Weigh Price Against Value When Selling Your Business
All business owners want to get the best possible price for their business. There is a fine line that must be walked between maximizing value, and overplaying your hand, driving away potential buyers. Unrealistic pricing is the number one reason businesses don’t sell.
When Selling Your Business Market Professionally
Successful marketing of a business is key. A business broker will prepare a marketing strategy and offer advice about essential marketing tools. Through their access to data and their professional networks, business brokers can get the work out far more effectively than any owner could manage.
Apprehension, remorse and doubt are all a normal part of the selling your business. You can expect to lose a few nights’ sleep as you make one of the most important decisions in your business career. This is a normal part of letting go, releasing the attachment you have had to your business for so many years. EBIT’s team of professionals will smooth the steps and provides guidance and support throughout the selling process.