Cutting corners never pays off, especially in the sale of a banking and investment law firm.
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In a skittish economy, banking and investment law firm sellers can access several strategies to receive fair market value from entrepreneurs who understand the value of a good business investment.
Average Preparation Time
There are no effective shortcuts for selling a banking and investment law firm. For starters, the financials need to demonstrate a track record of profitability and growth. You'll also need to create financial reports, operations manuals, and other documents to create the perception of a turnkey banking and investment law firm operation. Since all of this takes time and effort, a banking and investment law firm can rarely be ready for the marketplace in less than six months. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Identifying Serious Buyers
Unfortunately, many of the prospects you will encounter aren't serious buyers. 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 banking and investment law firm during their initial inquires. Avoid releasing details about your banking and investment law firm until you have established that they have the financial capacity to make a legitimate offer.
When the Sale Goes Off-Course
The banking and investment law firm-for-sale marketplace is a mixed bag of brokered sales and solo efforts. But for every successful unassisted sale, several other banking and investment law firms sell below market value or languish on the market for years without attracting the interest of qualified buyers. If you decide to go solo and your business has been on the market for more than six months without a single buyer inquiry, it's time to hire a professional business broker. Lack of buyer enthusiasm or persistence indicates that something is wrong. The remedy is professional brokerage or a consultation with more experienced sellers.
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