Business Exit Planning
Selling a Mission Churches Business
Few entrepreneurs relish the idea of selling a business in a struggling economy. Yet Mission churches continue to be sold at a brisk pace, outperforming the sales of many other types of businesses.
In a down economy, many Mission church sellers wait to list their businesses until they see signs that the economy has rebounded, making it difficult to accurately evaluate the number of Mission churches that are actually for sale.
Eventually, it will the time will come to exit your business. When that happens, your future plans will be dependent on your ability to receive the highest possible sale price for your Mission church.
Dealing with Your Emotions
There is no easy way to say goodbye to your business. You probably have good reasons for selling your Mission church now, but that doesn't make the emotions you will experience any easier. It's important to allow yourself time to process your emotions during your exit. But since it's important to remain as objective and rational as possible, we also recommend establishing a firm sale strategy and negotiation team to limit the impact of your personal feelings on the sale outcome.
Adjusting Expectations
Every business seller dreams of a fast sale and a fat payday. However, no one told the marketplace about your expectations. The outcome of your sale will be determined by market forces - not by your personal circumstances or desires. Sometimes, sellers need to readjust their expectations to accommodate market realties. If price is the most important outcome, you may need to agree to seller financing or other concessions. If a fast sale is the highest priority, you may need to lower the asking price to quickly capture the attention of the marketplace.
Seller Financing
Capital is hard to come by these days. Financial institutions have tightened up their lending policies, making it difficult for inexperienced and undercapitalized entrepreneurs to buy Mission churches. As a result, buyers expect sellers to finance a significant portion of the sale. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
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