Exit Planning Techniques By Market

Selling a Firework Display Business

Despite the pessimistic mood of many sellers, your firework display business can be a high value acquisition target for ambitious entrepreneurs -- even in today's tough economy.

Most business sellers are interested in disposing of their businesses as quickly as possible. But that's not how a firework display business sale works.

Fortunately for sellers, forward-thinking entrepreneurs continue to be attracted to firework display businesses that exhibit strong financials and potential for future growth.

Sweetening the Deal

Today's firework display business buyers expect sellers to offer concessions to persuade them to close the deal. But don't limit your view of concessions to financial incentives. When you've reached your limit on price, consider offering non-cash concessions to encourage a commitment from the buyer. In the current economy, seller financing is becoming common in firework display business sales. If the prospect is inexperienced or lacks credentials in the industry, you can also offer to stay with the business for a specified period of time to help the new owner get on his feet and introduce him to your network of industry contacts.

Maximizing Sales Price

A successful firework display business requires an investment of both time and money. A business broker handles much of the legwork involved in the sale. If you try to sell your business without a broker, your time will be consumed by the details of the sale. Subsequently, you'll be distracted from the demands of your auto supply store, business will suffer, and the sale price you receive for your company will be dramatically reduced. For a lot reasons, a decision to hire a broker is almost always the right decision, especially for sellers who need to receive top dollar for their firework display businesses.

Laying the Groundwork

In addition to improving profitability and market share, planning the sale of your business will require you to think about how you will present your company to buyers. A first-rate business broker can give your business an edge by facilitating the preparation process and orienting your presentation toward today's buyers. At a minimum, you'll want to position your business to receive the highest possible sale price, prepare a packet for prospective buyers and perform an initial appraisal before you put your firework display business on the market.

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