Dont Make Big Mistakes When Selling A Small Business
Can you afford to lose ten or twenty or even fifty thousand dollars? No way! Yet, small business owners make many big mistakes when selling a small business every day when they try to sell their business. These mistakes can result in the loss of thousands of dollars.
Avoid leaving money on the table or throwing away your hard work by eliminating frequently committed mistakes. Take a look at these suggestions to help you avoid pitfalls, disappointment, and lost profits when you sell your business.
A lack of planning.
Sure, you can fire up your computer right now and place an ad online to attract potential buyers. However, to realize the greatest return on your investment, you should consult with an experienced business advisor to develop and execute a long-term plan for a successful business sale. Keep your business records up-to-date, and create a detailed business history and sales portfolio to have at the ready at all times. Also, experts like Andrew Rogerson in Sacramento will help you make the business attractive to potential buyers, price the business appropriately, and vet qualified prospects. All of this saves you time and worry, plus it will help you get the maximum sales price.
A lack of promotion.
While your business advisor Andrew will do most of the heavy lifting, you also will need to do some work promoting your sale. You’re the best person to promote your business, so work on a strategy with your advisor that incorporates your passion and knowledge of your business and the industry.
Failing to price the business accurately.
As mentioned above, thorough planning and preparation for a sale means setting a realistic price for your company. Discuss this with your business advisor and look at your industry, comparable businesses, the economy, and the market when determining the price.
Selling to the wrong buyer.
The first offer may be the highest offer, but it may not be the best and wised choice. You and your business advisor need to consider the financing of the deal, the new owner’s business experience, and his or her management skills. If the new owner doesn’t have what it takes to succeed, you may end up holding an empty bag.
Not finding the right person to represent your business.
It’s critical to a successful sale to find the right broker to help you sell your company. Don’t just go with the first person you see to list your business and get the process moving because this misstep can cost you time and money. Work with a business advisor like Andrew Rogerson who has many years in the market, extensive training on business transactions, and a long track record of success.
Andrew will research your business environment, the community, and the industry to arrive at a realistic approach and sales strategy. Meet with him and see how he operates to fashion a tailored plan for the sale of your business.
There are quite a few important steps to successfully selling a business, and avoiding the common big mistakes when selling a small business discussed above will go a long way to getting you the best deal when you sell. Click this link if you’d like a one-page summary of the steps you need to take in order to sell a business while keeping the highest possible value.
Take the time to speak with Andrew about selling your business email or call him at (916) 570-2674.