Business Exits By Industry

Selling a Child Support Collection and Enforcement Business

Business-for-sale markets are susceptible to a variety of influences. As you know, the child support collection and enforcement business industry has seen more than its share of fluctuations in business values. Many sellers have exited their companies under less-than-ideal circumstances. Yet it's still possible to achieve personal and professional goals when selling a child support collection and enforcement business during challenging economic times.

Business sellers are notorious for second-guessing themselves about the right time to put their companies up for sale.

The economy hasn't squashed the market for child support collection and enforcement businesses. Not surprisingly, buyers expect to receive value for their dollars - and that means sellers need to demonstrate that their businesses are capable of delivering anticipated returns.

Current Market Conditions

No one plans to sell a child support collection and enforcement business in a down economy. So far, government intervention and promises that the economy is slowly recovering haven't been enough to alleviate many entrepreneur's fears. But when the economy fully rebounds, a shadow inventory of child support collection and enforcement businesses will flood the market and drive prices down even further. The simple truth is that the economy shouldn't dictate whether or not now is the right time to sell a child support collection and enforcement business. Your individual circumstances and personal goals are more influential factors in determining when it's time to put your business on the market.

Signs You're in Over Your Head

The child support collection and enforcement business-for-sale marketplace is a mixed bag of brokered sales and solo efforts. Although there are exceptions, solo sales typically take longer and are less productive than brokered sales. As a rule, no business should sit on the market for more than six months without attracting the interest of at least a handful of qualified buyers. Lack of buyer enthusiasm or persistence indicates that something is wrong. Hire a broker and conduct a professional appraisal ASAP.

Equipment and Inventory Concerns

It's incumbent on buyers to commission their own appraisal of your child support collection and enforcement business's physical assets. Your appraisal should occur before you put your business on the market. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. During your appraisal process, you should also note the condition of your assets. Cost-effective repairs can then be made before your list your child support collection and enforcement business.

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