Optimizing Business Exits
Selling a Residential Care Facilities Information and Placement Services Business
With the economy struggling to rebound, the shadow inventory of residential care facilities information and placement services businesses in the business-for-sale marketplace seems to be rising. That could make this the perfect time to list a successful residential care facilities information and placement services business
The business-for-sale market is just as frustrating for buyers as it is for sellers these days. There are lots of buyers who want to own a residential care facilities information and placement services business, but have limited capital to get their foot in the door.
Helping families sort through the residential care options in their communities can be a great entrepreneurial opportunity.
However, serious buyers also understand the value of a good residential care facilities information and placement services business. So for residential care facilities information and placement services business sellers, today's market is all about convincing buyers that the numbers make their companies worth the asking price.
Legal Considerations
It pays to invest in first-rate legal counsel when you sell a residential care facilities information and placement services business. Competent legal counsel ensures that the sale documents are in proper order. Furthermore, a good lawyers provides the counsel necessary to navigate the tax and liability issues that surround a business sale. It's helpful to introduce your attorney to your broker to facilitate a smooth sale and a productive working relationship.
Seller Financing
The shortage in today's marketplace isn't interested buyers -- it's capital. Financial institutions have tightened up their lending policies, making it difficult for inexperienced and undercapitalized entrepreneurs to buy residential care facilities information and placement services businesses. 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.
Maintaining Objectivity
Emotions run high during the sale of a residential care facilities information and placement services business. Your estimate of your company's worth is probably skewed by your emotions and your close, personal connection to the business. Although it may be a hard pill to swallow, you need to find a way to introduce objectivity into your sale. A business broker can be a valuable resource in right-sizing your expectations and preparing you for market realities.
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