Niche Market Exit Planning Tips

Selling a Buildings Business

We hear from a lot of business owners who are timid about listing their buildings business. Despite the mood of the market, we think there are still opportunities to receive a good price for your buildings business. Here's what you need to know . . .

Business sellers are notorious for second-guessing themselves about the right time to put their companies up for sale.

Although we understand why sellers are hesitant, we're also seeing enough business sales to know that if you want to sell a buildings business, you can - even in today's economy. Here's how to do it . . .

Closing Strategies

Today's buildings business buyers expect sellers to offer concessions to persuade them to close the deal. But don't limit your view of concessions to financial incentives. When you've reached your limit on price, consider offering non-cash concessions to encourage a commitment from the buyer. A limited amount of training and mentoring may seem inconsequential to you, but to a young buildings business owner, they can be critical launching points for their ownership journey.

Broker vs. No Broker

When selling a buildings business, you have two choices: Hire a broker to facilitate the sale or perform the sale unassisted. Business brokers typically charge a 10% "success fee" when they sell a business, but they also handle many of the hassles that are associated with selling a buildings business. You can also expect to receive a higher sales price for your business in a broker-assisted deal.

How to Identify Prospective Buyers

Whether you know it or not, prospective buyers for your buildings business are all around you. In fact, there is a good chance you already know several individuals or companies that might be interested in buying your business for a decent price. Although some buildings business sellers advertise their businesses in general classifieds, the most successful sales are those in which professional brokers seek out likely buyers. Competitors may seem like natural prospects and they are. The downside is that they won't pay top dollar and will probably absorb your company into their own.

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary