Niche Exit Planning Tactics
Selling a Water Well Drilling and Service Business
There's a right way and a wrong way to sell a water well drilling and service business these days. More than ever before, it's important for sellers to know the tactics and techniques that are being used to maximize sales price and achieve desired sale outcomes.
You survived all the ups and downs of owning a business. Next, you'll need to prepare yourself to address the rigors of selling a water well drilling and service business.
More than a few water well drilling and service business owners fail to receive fair market value for their businesses. With the right strategy, your sale doesn't have to end that way.
Brokerage Benefits
Brokers give water well drilling and service business sellers distinct advantages in the marketplace. Right out of the gate, brokers know how to help their clients properly prepare their businesses for a sale. More importantly, brokers have the ability to identify serious buyers and maintain confidentiality throughout the sale process. Typical brokerage rates (a.k.a. success fees) run 10% of the final price - an expense that is usually recouped through a higher sales price and less time on the market.
Selling Time
Hoping for a quick water well drilling and service business sale? You may be disappointed. Although asking price and other factors contribute to sale time, it's difficult to predict how long your business will be on the market before you locate the right buyer. On average, it takes a minimum of six months to prepare a water well drilling and service business for sale and many sellers spend a year or more positioning their business to command a higher price. Even though it's conceivable that an attractive opportunity could sell in weeks, an immediate flood of offers could indicate that the business is underpriced.
Equipment and Inventory Concerns
It's incumbent on buyers to commission their own appraisal of your water well drilling and service business's real assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. During your appraisal process, you should also note the condition of your assets. Cost-effective repairs can then be made before your list your water well drilling and service business.
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