The economy isn't the only thing that is uncertain these days. So are bowling lane refinishing and repair business buyers, many of whom are waiting to pull the trigger on their next acquisition.
(article continues below)
Success is a factor of preparation, execution and a keen eye for the market. But for business sellers, the process begins with having the right mental attitude.
When the Sale Goes Off-Course
Many bowling lane refinishing and repair business are tempted to save brokerage fees by selling their businesses on their own. But for every successful unassisted sale, several other bowling lane refinishing and repair businesses sell below market value or languish on the market for years without attracting the interest of qualified buyers. Generally, listed businesses should generate interest within a few months. Lack of buyer enthusiasm or persistence indicates that something is wrong. The remedy is professional brokerage or a consultation with more experienced sellers.
Pros & Cons of a Sale to an Employee
Although it may seem easier to sell your bowling lane refinishing and repair business to an employee, this approach also has some pitfalls. A key employee may seem like a natural sales prospect. If you need to sell quickly, the timeframe is condensed in an employee sale because you don't need to track down a buyer. Yet most employees lack the means to buy their employer's business at or near the asking price. Seller financing is one way to get around the capital deficit of an employee-based bowling lane refinishing and repair business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.
Sale Preparation Timeframes
There are no effective shortcuts for selling a bowling lane refinishing and repair business. For starters, the financials need to demonstrate a track record of profitability and growth. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Unless you have already started planning for your bowling lane refinishing and repair business sale, it's going to take at least six months to prepare your business. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Given your interest in exit planning and in bowling lane refinishing and repair businesses, you might find these additional resources to be of interest.
If starting a bowling lane refinishing and repair business is on your agenda, these helpul resources may be just what you've been looking for:
If you want information on how to sell to bowling lane refinishing and repair businesses, there's more applicable information for you elsewhere on our site. These helpful guides are more appropriate for you:
If you are looking for exit plan advice for a different kind of business, please browse our directory of exit planning guides below.