Selling a Business Advice

Selling an Insurance Plan Administrators Business

Nervous about selling your insurance plan administrators business? You shouldn't be. Our tips will help you get the highest price for your insurance plan administrators business, regardless of what's happening with the economy.

Market timing is a perennial problem for business sellers.

There are many factors involved with the decision to sell a business. Knowledgeable entrepreneurs understand that market timing isn't nearly as important as other factors in a insurance plan administrators business sale. To improve sale outcomes, you will simply need to tailor your insurance plan administrators business to today's buyers.

Turning the Tables: Buyer Concessions

In a tight economy, seller concessions are the name of the game. But that doesn't mean you can't push for buyer concessions to achieve a more favorable outcome in the sale of your insurance plan administrators business. Although this scenario frequently plays out around seller financed deals, it's possible to push for a higher sales price or other form of compensation if you agree to mentor the buyer for a specified period of time. Asset exclusions, retained ownership shares and long-term contracts with another of the seller's companies can also be leveraged to extract concessions from buyers.

Working with Accountants

Professional accountants lend credibility to the financial preparation of an insurance plan administrators business sale. Before your insurance plan administrators business goes on the market, you should sit down with your accountant to clarify your financial goals and the tax consequences of a sale. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.

Timing Your insurance plan administrators business Sale

When is it the right time to sell your insurance plan administrators business? If you're asking the question, now may be the time to put your business on the market. Some experts are telling insurance plan administrators business sellers to put their plans on hold until the economy fully rebounds. But despite the negativity that exists in some sectors, if you have a desire to sell your insurance plan administrators business now, there is a high probability that you can sell it in the current market. With so many sellers holding back, there isn't a lot of inventory out there and you may be able to get a great price for your practice depending on how well you prepare the business and your ability to execute your sale strategy.

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