Advice on Niche Market Exit Planning

Selling a Textile Finishing Manufacturing Business

The business-for-sale marketplace has experienced no shortage of uncertainty over the past several years. But textile finishing manufacturing businesses continue to sell at a brisk pace, regardless of the economy.

Personal and professional concerns surround the sale of a textile finishing manufacturing business. In our experience, a common owner concern is how the sale will affect customers and employees.

The business-for-sale market is extremely dynamic. So if you're waiting for the perfect market conditions to sell your textile finishing manufacturing business, you could be waiting a while. If your business is ready to be sold, the time to sell is now. To improve sale outcomes, you will simply need to tailor your textile finishing manufacturing business to today's buyers.

Signs You're in Over Your Head

Many textile finishing manufacturing 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. Lack of buyer enthusiasm or persistence indicates that something is wrong. Hire a broker and conduct a professional appraisal ASAP.

Selling a Textile Finishing Manufacturing Business to an Employee

Employee sales have pros and cons. A faithful employee may have the motivation and ability to continue to operate the business. The time and expense of locating the right buyer will be nonexistent and you won't have to spend weeks showing the buyer every square inch of the company. But in many cases, employees expect to get a deal from their employer based on their years of service to the company. Seller financing is one way to get around the capital deficit of an employee-based textile finishing manufacturing business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.

Moving On

So you've decided to sell your textile finishing manufacturing business. That's great -- but have you considered what's next? Are you moving on to another business venture? Are you retiring? many sellers find themselves ill-equipped to handle life after their business and fail to understand that their future plans can influence the sale process. In today's market, many buyers expect seller financing - a concession that might not be a possibility for sellers whose next step requires the entire proceeds at the time of the sale.

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