Embracing Technology to Boost Your Business
Technology can help business owners get top dollar when selling their business, according to Keith Gregg, Chairman/CEO of Chalice Wealth Partners, a San Diego-based wealth tech member organization for independent wealth advisors.
Gregg, in February 8, 2019 article in Forbes, “Using Tech to Enhance and Sell a Business,” says some small business owners limit their search for a potential buyer to their professional network or rely on an appraisal service to determine what their business is worth. He writes that the right technology can help avoid these pitfalls. He explains how important it is to address three important areas before placing your business on the market.
Upgrading Systems
Before looking for a buyer, Gregg recommends upgrading aging software and hardware. Upgrading systems can be particularly important for attracting younger buyers. It is common for businesses to be successful without proprietary technology or procedures, but that doesn’t mean that technology should be ignored.
Important information should be digitized, as this data will be vital for the new owner to grow the business over the long haul. Incorporating software that can track and analyze data across the business is likewise valuable. Using software, such as customer relationship management and financial management software, will showcase that your business has been modernized.
Business Valuations
Determining the value of your business can be tricky and laborious. Gregg recommends opting for a professional business valuation, as he feels, “business valuation calculations can remove much of the guesswork from the process.”
You should expect a business valuation calculator to include everything from verified data on comparable business deals, including gross income and cash flow figures and more. There are even industry-specific calculations that can be used as well. The main point that Gregg wants to convey is that business owners should use tangible and proven data to sell their businesses. Like upgrading systems appeals to younger buyers, the same holds true for using verified data to sell.
Take Advantage of the Digital Marketplace
Gregg’s view is that perhaps the single greatest technology for business owners to leverage is that of the digital marketplace. Sites that link businesses with prospective buyers can help to streamline and expedite the sales process. Through such sites, it is possible to go deeper than a specific industry and even explore sub-sectors, thus enhancing the chances of finding the right buyer.
Technology can be used to help sell businesses in a variety of ways. An experienced and proven business broker will leverage a whole range of tools to assist business owners when selling their businesses. When you opt for a proven business broker, you can expect to receive offers from serious and vetted buyers and, in the process, save a great deal of time while maintaining confidentiality.
Copyright: Business Brokerage Press, Inc.
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