Niche Exit Planning Strategies
Selling a Data Processing School
Many business leaders say that now isn't the time to try to sell a data processing school. At Gaebler, we think it's a great time to sell a data processing school. Here's why . . ..
Business sellers sometimes face a long, hard struggle to get fair market value for their companies. But with the adequate preparation, your data processing school can attract buyers who recognize its potential.
The business-for-sale market is extremely dynamic. That's why we think it's important for data processing school owners to know that it's possible to sell a business in any economy. To improve sale outcomes, you will simply need to tailor your data processing school to today's buyers.
It's incumbent on buyers to commission their own appraisal of your data processing school's real assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. A pre-listing appraisal also gives you the opportunity to document the condition of your data processing school's assets and possible even make repairs or upgrades to increase the total value of the operation.
Working with a Professional Accountant
Accountants lay the financial groundwork for a business sale. Before your data processing school goes on the market, you should sit down with your accountant to clarify your financial goals and the tax consequences of a sale. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. In certain instances, it may be appropriate to ask your accountant to vet the financials of prospective buyers, run credit checks or even structure the terms of a seller-financed deal.
Before You Sell
There is a lot of work that needs to be done before you're ready to sell your data processing school. Perhaps the most important pre-sale consideration is to right-size your expectations to the realities of the market. After you have consulted with a business broker to right size your expectations, you'll need to add several items to your checklist, including financial statement preparation, pre-sale appraisals, financial planning, market positioning and other tasks designed to communicate value to prospective buyers.
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