Selling a business is often overwhelming, both from an emotional standpoint and the amount of work that needs to be done to get everything ready. Having a game plan in place can help everything work smoothly and make it easier to handle. For this reason, we’ve prepared a guide to help prepare as you contemplate selling your business.
What Are Your Goals?
Something you should do before selling your business is think about your goals. Are you looking for as much money as possible to retire? Or are you looking to move forward with other business ideas? Do you want the business to be absorbed by another company or would you like to see it continue to thrive as-is? While there are tons of reasons to sell and goals will vary for every sale, taking the time to think about what you really want can help you with many of the decisions you’ll need to make before marketing the business.
Make Sure You’re Ready to Sell
Selling a business can be emotionally taxing. It’s something you’ve nurtured for years and put everything into, so it’s no surprise that you may experience a number of emotions when getting ready to sell the business. Take the time to work through your emotions, letting yourself feel them so you can be prepared for the sale itself. Doing this helps you prepare mentally for the sale and can help you make better decisions throughout the sales process since you can consider them practically instead of emotionally.
Have a Valuation Done
Business valuations determine how much your business is worth in today’s market. This is crucial for determining a selling price, figuring out how to market the business for sale, and negotiating a price with the buyer. A valuation should be done by a professional to make sure it includes everything and is as up-to-date as possible. Work closely with them and provide any information they need to get an accurate valuation.
Make Sure Everything is Organized
Organization is probably them most important element when selling a business. Potential buyers will need to review financial documents, policies, vendors, and anything else that can impact their decision. Take the time to organize all physical documents in a binder or other container so everything is together in one place. Go through and organize digital documents, too, so they’re easy to find when you need to send something to a potential buyer.
Start Marketing the Business
Once everything is put together, you’ll work on marketing the business to potential buyers. It is highly recommended to work with experts on this, as they know who might be interested in buying the business, how to let potential buyers know that the business is for sale and more. They’ll work closely with you to find the right buyer for the business and help you throughout the sales process to get a better deal when you sell. If you’re ready to sell your business, there is likely a lot that needs to be done. Take the time to do it all step by step and make sure you prepare carefully so everything is ready when you stat looking for buyers. Take the time to speak with business brokers today to learn more about the sales process and everything you should do to get ready.
