Business Exit Planning

Selling a Metal Rolling and Forming Business

We hear from a lot of business owners who are timid about listing their metal rolling and forming business. Despite the mood of the market, we think there are still opportunities to receive a good price for your metal rolling and forming business. Here's what you need to know . . .

In a down economy, many metal rolling and forming business sellers wait to list their businesses until they see signs that the economy has rebounded, making it difficult to accurately evaluate the number of metal rolling and forming businesses that are actually for sale.

There is no simple way to sell a business. But the most prepared metal rolling and forming business sellers are achieving fair market value and more for their companies through persistence and the application of sound selling techniques.

Pros & Cons of a Sale to an Employee

Employee sales have pros and cons. 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 metal rolling and forming business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.

When the Sale Goes Off-Course

Many metal rolling and forming business are tempted to save brokerage fees by selling their businesses on their own. 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. When buyers fail to exhibit substantive interest, it could indicate unrealistic pricing or an inferior selling strategy. The remedy is professional brokerage or a consultation with more experienced sellers.

Dealing with Your Emotions

Business sellers sometimes struggle to handle the emotions of a sale. You probably have good reasons for selling your metal rolling and forming business now, but that doesn't make the emotions you will experience any easier. Instead of feeling guilty about your emotions, take the time to process them with a mentor or friend. At the same time, it's helpful to consult with people who can help limit the influence of your emotions on negotiations and other aspects of the sale process.

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary