The economy isn't the only thing that is uncertain these days. So are bar association buyers, many of whom are waiting to pull the trigger on their next acquisition.
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But they're also savvy enough to know a good deal when they see it. Financial statements and ROI are essential in converting modern bar association prospects into buyers.
Leveraging Industry Connections
Today's bar association buyers can be found in a variety of locations. Online business-for-sale databases like BizBuySell.com offer convenient resources for sellers interested in promoting their business to a broad prospect base. For more targeted lead generation, consider tapping into your network of industry contacts. Time and time again, successful bar association sales emerge from relationships within the industry. The challenge is to leverage industry connections while keeping knowledge of the sale hidden from your competitors. Use good sense in restricting the flow of information within the industry and focusing your efforts toward trusted industry allies.
Factoring In Economic Variables
When you sell a bar association, there are a number of variables you need to consider. Interest rates, spending, inflation, and other variables directly influence how long your bar association will be on the market as well as its sales price. The truth is that perfect market conditions may never materialize. Rather than watching the economy, we recommend watching buyers and tailoring your business to meet their investment expectations. When it comes to selling a bar association, successful sales sales often boil down to the business itself - not the economy.
Professional appraisers can use three methods to determine the value ofa bar association: The income method, the asset method and the market method. Appraisals based on the asset method gauge value as a factor of the company's real property and non-tangible assets; appraisals based on the income method consider the business's anticipated revenue. In many sales, the most accurate valuation comes from the market method which determines value based on the recent sales of similar businesses. All three methods have multiple variations and it's not uncommon for appraisers to use a combination of the three to determine the value of your business. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
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