Business Exits By Industry
Selling a Contractors' Traffic Control Signs Business
Don't believe anyone who tells you it's easy to sell a contractors' traffic control signs business. A lot of things need to happen before you can successfully exit your business. But with a few tips, you can keep your shirt and your sanity in the sale of your business.
The economy isn't the only thing that is uncertain these days. So are contractors' traffic control signs business buyers, many of whom are waiting to pull the trigger on their next acquisition.
Most contractors' traffic control signs businesses are good business opportunities, a fact that is not going unnoticed by today's discerning buyers.
Average Preparation Time
There are no effective shortcuts for selling a contractors' traffic control signs business. Since buyers prefer to see evidence of future cash flow, you'll want to to strategically lock in cash flows and increase profits before you list the business. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a contractors' traffic control signs business can rarely be ready for the marketplace in less than six months. However, to command the highest price, you'll probably need to spend one to two years preparing and positioning your business for buyers.
Turning the Tables: Buyer Concessions
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. Like seller concessions, buyer concessions should be addressed during negotiations, before the preparation of a Letter of Intent.
Benefits of Third-Party Assistance
Rarely, if ever, do owners sell a contractors' traffic control signs business without outside assistance. Although it's wise to recruit a business broker, brokerage isn't your only concern. We also suggest hiring an attorney, an appraiser, and an accountant early in the process. The benefit of soliciting outside assistance early is that seemingly small decisions now can have big consequences later. By consulting professionals throughout the sale of your contractors' traffic control signs business, you can avoid painful tax and legal complications both before and after closing.
Have Friends Who Might Like This Article?
Let them know on LinkedIn
Ready to Learn More? We Think You Might Like These Articles:
Additional Resources for Entrepreneurs