Business Exits By Industry
Selling a Cotton and Cotton Goods Business
Don't believe anyone who tells you it's easy to sell a cotton and cotton goods 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.
Business buyers face their own set of frustrations and complications. There are lots of buyers who want to own a cotton and cotton goods business, but have limited capital to get their foot in the door.
Most cotton and cotton goods businesses are good business opportunities, a fact that is not going unnoticed by today's discerning buyers.
Legal Considerations
It pays to invest in first-rate legal counsel when you sell a cotton and cotton goods business. Tackling the legal nuances and tax ramifications of a sale without a first-rate business lawyer is an invitation for disaster. We recommend hiring an attorney early in the process to gain insights about the legal consequences of various sale outcomes.
Buyer Concessions
Sellers aren't the only ones who can make concessions in a business sale. In many instances, sellers can request buyer concessions. Often, buyer concessions represent financial incentives that the seller receives in exchange for providing a non-cash benefit (e.g. training, financing, etc.. 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.
Average Timeframes
Hoping for a quick cotton and cotton goods business sale? You may be disappointed. 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.
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