Should You Sell Your Business?
Serious Questions You Must Answer BEFORE Deciding To Sell Your Business
If you ask some business brokers the question “Should I Sell My Business?”, you are likely to get an answer purely motivated by the self-interest of earning a commission. However, when asking a Biz-Sell Advisor the same question, the initial answer would be “it depends”. That is an unfulfilling response, but the answer is entirely dependent on the professional and personal circumstances surrounding your business. It deserves much more reflection than just a knee-jerk, not so well thought out, response.
For many business owners the most important issue when considering selling their business center on how their family and loved ones may be impacted by the sale. Is there a family member who was hoping to be a part of the businesses future? We have also seen business owners who have been so tightly wrapped up in the day-to-day operations that when they come up for air to start thinking of selling their business they become frightened of life after the close of the sale. Not that we are psychologists, but your Biz-Sell Advisor can help you see how other business owners have overcome some of the emotional struggles of selling a business.
While the business sales process can be made easy and hassle-free, there is still an investment of time and attention necessary for business owners when selling a business. A super-fast business sale could happen in 90 days, but the more typical time frame from first day on market to close of escrow would more likely be 6-12 months and possibly longer if the business is in a more niched sector or industry. Biz-Sell handles much of the troublesome details required for our clients, but the business owner has to commit to the steps in the process and the role only they can fulfill in completing a sale.
Let’s face it; a business is primarily about money plain and simple. Naturally the question of utmost importance is “how much is my business worth?” It is imperative to seek the counsel of a skilled advisor at Biz-Sell that can help you build a case for a higher and marketable valuation. It is important to gather the financial documentation that will help support your asking price. Ultimately, good consultation will help give you clarity on whether the “price is right” to sell your business.
Lastly, your decision to sell your business may be very easy to make if you are just plain exhausted ready to retire. Will it be easy for you to let go and move on to other pursuits? Or, will there be an adjustment you have to make in saying goodbye to the business you have toiled away at for so many years. One way to help with your departure could be gradually phasing you out of the business over 6 months or even years. Oftentimes buyers see it as attractive to have the seller involved for some time period after the sale of the business. Your Biz-Sell Advisor can help guide you with your post-sale plans.
The bottom line is that there should never be a blanket statement made saying now is the perfect time for anyone to sell a business. The answer can only be determined through guided, careful reflection. A Biz-Sell advisor can help you with a confidential free, no obligation consultation that will NOT be inspired by our own interests but only yours.