Exit Planning Techniques By Market
Selling a Farm Equipment Business
At first glance, an unstable economy would seem to be an unfriendly atmosphere for a farm equipment business sale. At Gaebler, we think it's a great time to sell a farm equipment business. Here's why . . ..
Personal and professional concerns surround the sale of a farm equipment business. In our experience, a common owner concern is how the sale will affect customers and employees.
But sooner or later, all good things must come to an end. When that happens, your future plans will be dependent on your ability to receive the highest possible sale price for your farm equipment business.
Team-Based Negotiation Strategies
Business sellers are sometimes surprised to find themselves in the position of negotiator-in-chief. When you sell your farm equipment business, your business brokers may or may not be willing to conduct negotiations for you. Negotiation is a chess game, best played with the resources and backend support of a negotiation team. A negotiation team comprised of trusted advisors and senior business leaders is essential in helping you devise a winning negotiation strategy. More importantly, a negotiation team can serve as a sounding board -- an objective presence that prohibits your personal emotions from clouding your judgment or sabotaging your efforts to negotiate a successful deal.
How Much Does It Cost to Sell a farm equipment business?
The calculation of your asking price should include a buffer to cover the expense of the sale process. Good brokerage takes a 10% success fee off the top of the final sale price. Attorneys, accountants and appraisers work for a flat fee that can range from hundreds to thousands of dollars. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
Advertising Your Sale
The best farm equipment business sales incorporate comprehensive advertising plans. However, confidentiality and other concerns can present challenges, even for sales professionals. The knowledge that your business is being sold almost always converts into negative PR with your customers and vendors. Business brokers are skilled at publicizing farm equipment business sales while maintaining the confidentiality that is critical to your business.
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