Niche Market Exit Planning Tips

Selling a Bed Rental and Leasing Business

You've heard the naysayers - now isn't the time to sell a bed rental and leasing business. But what they don't know is that many entrepreneurs see bed rental and leasing businesses as a smart business investment.

Are most buyers timid about buying a bed rental and leasing business in today's economic environment? You bet.

If you're ready to move on, now is the right time to sell your bed rental and leasing business.

Buyer Concessions

Most bed rental and leasing business sellers realize they will need to offer concessions to sell their businesses. But for every concession you grant, there may be an opportunity to obtain a concession from the buyer. For example, if the buyer needs seller financing, you can leverage a five-year loan to push for a higher sales price. Although you won't see all of the proceeds upfront, you'll earn interest on the balance and realize a higher price than you would in an all cash deal. Asset exclusions, retained ownership shares and long-term contracts with another of the seller's companies can also be leveraged to extract concessions from buyers.

Legal Considerations

It pays to invest in first-rate legal counsel when you sell a bed rental and leasing business. Competent legal counsel ensures that the sale documents are in proper order. Furthermore, a good lawyers provides the counsel necessary to navigate the tax and liability issues that surround a business sale. It's helpful to introduce your attorney to your broker to facilitate a smooth sale and a productive working relationship.

Pre-Sale Checklist

The upfront time you investment in the sale of your bed rental and leasing business will pay big dividends at closing. The first item on your checklist should be a reality check -- if you plan to sell your business for top dollar in just a few short months, you need to adjust your expectations%However, your first priority should be to set realistic expectations for the selling process and its eventual outcome. Once your expectations are in the ballpark, you can move on to making your business presentable to prospective buyers.

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary