Niche Market Exit Planning Tips
Selling a Building Materials and Supplies Dealers Business
Selling a building materials and supplies dealers business doesn't happen overnight. It takes a deliberate process to get top dollar for your company.
Business-for-sale markets are less dependent on economic conditions than most sellers think they are.
Many building materials and supplies dealers business owners fail to receive fair market value for their businesses. That's unfortunate because all it takes to get a fair price in today's market is ample planning and an awareness of what's important to buyers.
From the day they decide to sell their company, the question that plagues many owners is how long it will take to sell their building materials and supplies dealers business. 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. To adequately prepare your business listing, plan on spending six months to a year prior to listing. 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.
Sellers aren't the only ones who can make concessions in a business sale. In many instances, sellers can request buyer concessions. 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.
Broker vs. No Broker
When selling a building materials and supplies dealers business, you have two choices: Hire a broker to facilitate the sale or perform the sale unassisted. Is there a cost associated with hiring a broker? Sure - about 10% of the final sale prices. But a good broker will make selling your building materials and supplies dealers business much less painful. If you're on the fence, do your research before you make a final decision. BizBuySell.com and other websites offer detailed information about brokers and the process of performing a brokered building materials and supplies dealers business sale.
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