You’ve put a lot of time and effort into starting and running your business, so making the decision to sell your business likely wasn’t an easy one. Whether you’re ready to retire, spend more time with your family, or have another reason for parting ways, having a solid exit strategy for your business can help you better manage your financial goals and prepare for all outcomes to mitigate losses.
When selling your business you will want to get the most out of it. In order to make the process as easy and profitable as possible, you’ll want to start planning early. Here are some effective tips:
Determine Your Business’s Value
You’ve put in tons of time and effort to grow your business and will want to make sure that you’re asking a fair price when selling it. In order to do that, you will want to work with a business broker or valuation expert. They can help you understand the real market value of your business along with what supports and drives that value. Having this figured out in advance can help with managing expectations in selling your business.
Be Prepared
Deciding to sell your business is an exciting time. Whether you’re looking to retire, or have another reason for exiting, if you’ve already decided to sell your business, you should not delay the sale for too long.
A successful business sale will require planning and preparation. In addition to having your finances in order, you should have all the necessary paperwork ready regarding your business:
- Financials including:
- P & L
- Tax Returns
- Balance Sheet
- Customer and Business Data
- List of Inventory
- Copy of Lease (if applicable)
Don’t Neglect Your Business While It’s on the Market
Continue to look after your business even after you put it up for sale. Neglecting the business is one of the biggest mistakes you can make. Selling a business could take up to a year and keep in mind that the contract isn’t finalized until all parties sign the paperwork. The buyers can return to the table and demand a lower price if your company’s revenue abruptly drops in the months preceding the sale. Therefore, make sure that someone is constantly concentrating on managing the business in the months preceding the sale.
Choose a Trusted and Reliable Business Broker
Although it might be difficult to let go of your business, selling your business is an opportunity to get a return on the time, money, and hard work you invested to build it. Thus, you will need the assistance of a reputable and trusted business broker to sell your business and get the most out of it.
Selling a business requires confidentiality. An experienced professional business broker will ensure that all potential buyers have signed a Non-Disclosure agreement. They will also attract the right qualified buyers, value your business, negotiate the best terms, and aid in bringing your sale to a successful closing.
Midway Business Brokerage is a top-ranked business brokerage in New Jersey that is renowned for enabling business owners to sell their businesses and receive the profits they deserve. We are reputable business brokers that have the knowledge and expertise to help you create an exit strategy to make sure that your sale of the business will be as profitable as possible.
With Midway Business Brokerage as your partner, you’ll have the peace of mind that you and your business are in good hands. Get in touch with us today.
