Niche Market Exit Planning Tips
Selling a Business Incubators Business
Most businesses are susceptible to economic conditions and business incubators businesses are no exception. But in some cases, a down economy can actually improve saleability. All it takes is a strategy to identify solid prospects and convert them to buyers.
In a down economy, many business incubators business sellers wait to list their businesses until they see signs that the economy has rebounded, making it difficult to accurately evaluate the number of business incubators businesses that are actually for sale.
However, serious buyers also understand the value of a good business incubators business. To sell your business incubators business, you'll need to go the extra mile to prove your company has the potential to deliver steady revenue and a solid ROI.
Understanding Market Timing
Now may be the best time to sell a business incubators business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on business incubators businesses. As the interest rates rise, it will be more difficult for buyers to make the numbers work in their favor. At Gaebler, we recognize the value of timing the sale of your business incubators business. But we think it's more important to properly position your business for current market conditions -- whatever they may be.
Capital is hard to come by these days. Thanks to more stringent commercial lending requirements, sellers have become de facto lenders, providing the financing buyers need to get their feet in the door. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Broker vs. No Broker
When selling a business incubators 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 business incubators business much less painful. You can also expect to receive a higher sales price for your business in a broker-assisted deal.
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