Waiting for better economic times to sell your company? That's a common anthem in the small business community.
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However, serious buyers also understand the value of a good snow cones business. So for snow cones business sellers, today's market is all about convincing buyers that the numbers make their companies worth the asking price.
How Much Does It Cost to Sell a snow cones business?
In a snow cones business sale, pricing is based on a number of factors, including the costs incurred during the sale. Good brokerage takes a 10% success fee off the top of the final sale price. Attorneys, accountants and appraisers work for a flat fee that can range from hundreds to thousands of dollars. Likewise, you'll need to consider how much it will cost to promote the sale as well as the lost time it will take for you and your team to navigate the sale process.
Capital is hard to come by these days. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized snow cones business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Emotions run high during the sale of a snow cones 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. Many sellers create a negotiation team to minimize the effect of their personal emotions on negotiations. More importantly, this team can perform a reality check on your expectations for the sale.
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