If you plan on selling your corrugated metals business quickly, prepare to be disappointed.
(article continues below)
Success is a factor of preparation, execution and a keen eye for the market. As a business seller, you need to go into the process with the mental goal of presenting your business in the best possible light.
Selecting a Broker
A good business broker is your best bet for a fast and profitable business sale. During the selection process, look for brokers with a proven track record of successful corrugated metals business sales. Take our word for it -- corrugated metals businesses are unique businesses and you need a broker who understands how to properly market your corrugated metals business to prospective buyers. The best brokers should also come with a list of references, a demonstrable track record and a proven plan for selling corrugated metals businesses.
What About Market Conditions?
No one plans to sell a corrugated metals business in a down economy. Entrepreneurs and investors still exhibit healthy skepticism, despite initial indication that recovery has begun. However, many business sellers don't realize that a full economic rebound can have devastating consequences, particularly if sellers who have waited to list their businesses suddenly create a glut in the business-for-sale marketplace. The simple truth is that the economy shouldn't dictate whether or not now is the right time to sell a corrugated metals business. Your individual circumstances and personal goals are more influential factors in determining when it's time to put your business on the market.
Professional appraisers can use three methods to determine the value ofa corrugated metals business: The income method, the asset method and the market method. While the income method uses anticipated revenues as a value basis, the asset method focuses on the company's capital, real estate and intellectual assets. Finally, the market method determines the worth of your corrugated metals business based on the sales of similar businesses in your geographic area. A good appraiser will often use multiple valuation methods to arrive at a reasonable estimate. To drive up your sale price, position your corrugated metals business by improving variables like assets, revenue and profitability during the years leading up to a sale.
Ready to learn more? You may find these additional resources to be of interest.
If you plan on opening a corrugated metals business, these helpul resources may be just what you've been looking for:
If you consider corrugated metals businesses to be sales prospects, this isn't the best resource for you on our site. Try these useful resources instead:
If you are looking for exit plan advice for a different kind of business, try our directory of exit planning guides below.