Optimizing Business Exits
Selling a Retirement Apartments and Hotels Business
With the economy limping along, many retirement apartments and hotels business owners are hesitant to put their businesses on the market. At Gaebler, we think it's a great time to sell a retirement apartments and hotels business. Here's why . . ..
It's a fact: Successful business sales take time.
If you're looking for a reason to wait to put your business on the market, you'll find it. With hard work and dedication, your retirement apartments and hotels business can be sold at or above fair market value right now.
Current Market Conditions
At first glance, today's market would seem to be a hostile place for retirement apartments and hotels business sellers. So far, government intervention and promises that the economy is slowly recovering haven't been enough to alleviate many entrepreneur's fears. However, many business sellers don't realize that a full economic rebound can have devastating consequences, particularly if sellers who have waited to list their businesses suddenly create a glut in the business-for-sale marketplace. So what's our point? The economy isn't the most important factor in the sale of your business. Instead, you should be focusing on making your retirement apartments and hotels business as attractive as possible so to buyers right now.
Sale Documents
In a retirement apartments and hotels business sale, the Letter of Intent contains the vital elements of the deal between the buyer and the seller . If you are seeking buyer concessions, the time to address them is before the Letter of Intent is drafted. For sellers, that makes a close review of the Letter of Intent more than a formality - it's a critical juncture on the path to closing.
Dealing with Tire Kickers
If you haven't sold a business before, prepare to be overwhelmed by tire kickers -- seemingly interested buyers who lack the capacity, ability or desire to actually purchase your retirement apartments and hotels business. As a seller, it's important to separate the tire kickers from the serious buyers as soon as possible. Each tire kicker is an investment of time and energy that could be poured into finding a more qualified prospect. Your business broker can offer insights about how to quickly spot tire kickers. It's likely that non-serious buyers will want to know everything about your retirement apartments and hotels business during their initial inquires. Avoid releasing details about your retirement apartments and hotels business until you have established that they have the financial capacity to make a legitimate offer.
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