With all the time, effort and money that go into owning a company, why would one turn around and sell it one day?
That said you as a business owner may have reached a point where you feel like selling is the thing to do.
With that thought in mind, you want to be on top of your game if selling is the route you are going to go.
How Best to Go About Selling?
Should you decide considering selling is the right move to make, here are some things to keep in mind:
- Get a good price – The last thing you want to do is sell and then have regrets you did not get the right price. That said you want to delve into what your business is worth and what would be a fair selling price. As you mull over finances, look at all from earnout structures to any liabilities you may have and more. The goal is to not only get all you can for selling the business, but to avoid financial pitfalls in the process.
- Will workers be involved?– Unless you are the only individual on the payroll, you’re going to have workers to think about. With that in mind, do you have employees? If so, selling the company will of course have an impact on them. As such, you want to think about their futures. Although you are not their employer once a sale goes through, the hope is you still have concerns for them. One option may be to include employees in the sales discussion. That is they have an opportunity to go and work with the new ownership. If you plan on opening another business, would you offer work to your current employees. Know when you have workers that you are not the only one having your future decided.
- You are in a position to sell – Also take the time to not only look at your company’s finances, but also reputation. If you and/or your business have questionable reputations, it can make it that more difficult to sell. So, it is important to do a review especially of your company’s reputation. Making sure the company is thought of highly is quite important. Face it; who would want to buy a company that does not have a solid reputation? One option is to do some background checks on both the company’s name and your name for that matter. That is of course unless both are one in the same. If there are about the reputation, do your best to clear them up.
- Your next business move – Last; do you know what is next in play for you if you do go through with a sale? Specifically, you want to make sure you will have regular income coming in moving ahead. You may decide to open a new business, work for another person and more. Think it all through so you do not have major worries on your plate.
In deciding selling might be a good thing, are you excited about the prospects?