Many business owners, especially those that own small businesses, don’t have any idea who to turn to when it comes time to think about selling. There are many things to think about including taxes, financing, valuation, marketing, confidentiality, and finding the right buyer. Selling a business takes time, planning, patience and professional execution. It can be an intimidating experience and owners need to prepare for what will probably be one of the most important events of their life. It will almost certainly be the most significant financial event for many.
We understand the reasons owners begin to think about selling; retirement, illness, divorce, burnout or other business opportunities. More importantly, we understand the importance of confidentiality; employees, vendors, competitors and customers can quickly erode value if they hear your business is for sale. Most business owners know their pricing and gross margin models like the back of their hand but have no idea what their business is really worth. Valuing a business is the most critical factor in being able to sell it Without knowing what a business is worth, how can the price be negotiated?
If you’re a business owner thinking about selling, it’s possible that, a year from now, the market could be very different. The stock market may be even higher and interest rates lower. Republicans and democrats may have learned how to work together.
But as time passes, risk rises. If you’ve been considering selling your business, consider giving me a call. We’ll work together to help you get to “Life’s Next Chapter”.
Gene G. Wright