Business Exits By Industry

Selling a Cryogenics Business

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

You need to get a good price for your cryogenics business. To get there, you'll need to set realistic expectations and follow a deliberate selling strategy.

Does that mean selling your cryogenics business will be a piece of cake? No -- but you might be surprised to learn that the cryogenics businesses that are selling these days are finding success though simple, common sense selling strategies.

Average Preparation Time

There are no effective shortcuts for selling a cryogenics 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. You'll also need to create financial reports, operations manuals, and other documents to create the perception of a turnkey cryogenics business operation. At a minimum, plan on spending six months preparing your cryogenics business for the marketplace. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.

Leveraging Industry Connections

Today's cryogenics business buyers can be found in a variety of locations. To advertise your sale to the widest possible audience, consider a listing on BizBuySell.com or other top online business-for-sale listing sites. More focused prospects are typically found within industry networks. When leveraging industry relationships for sales prospects, you'll need to be cognizant of the potential for competitors to use knowledge of your sale against you in the marketplace. Use good sense in restricting the flow of information within the industry and focusing your efforts toward trusted industry allies.

Turning the Tables: Buyer Concessions

In a tight economy, seller concessions are the name of the game. But that doesn't mean you can't push for buyer concessions to achieve a more favorable outcome in the sale of your cryogenics business. 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. 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.

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