Exit Planning Techniques By Market
Selling a Frozen Food Processors Business
Your frozen food processors business has been good to you. The next step is to position your business for the demands of the business-for-sale marketplace.
Economic data is scary stuff for small business owners. But quarterly data dumps don't impact frozen food processors business sales nearly as much as sale strategy.
Does that mean selling your frozen food processors business will be a piece of cake? No -- but you might be surprised to learn that the frozen food processors businesses that are selling these days are finding success though simple, common sense selling strategies.
How to Skillfully Address Buyer Concerns
It's a common scenario: in an effort to perform a thorough due diligence process, buyers flood frozen food processors business sellers with questions and requests, often to the point of becoming a nuisance. Due diligence preparation can mitigate the irritation factor, but you should still expect to field numerous buyer concerns before closing. When concerns arise, it's helpful to base your responses on facts and data. If you don't know the answer to a question, there's no shame in admitting ignorance and telling the buyer you'll look into it. Refer to the Letter of Intent to determine how to wrap up due diligence and move the buyer on to closing.
Preparing Family Members
Many sellers embarked on their frozen food processors business sale without adequately considering the impact it will have on their families. In many cases, we find that even though business owners are equipped to handle their ownership exit, their family members are having a hard time letting go of the business, especially if family life has revolved around the demands of the frozen food processors business. The sale of the business will likely result in new family dynamics. Subsequently, selling a frozen food processors business has to include ample communication and shared decision-making.
Brokerage Benefits
A good broker can offer several benefits to business sellers. Right out of the gate, brokers know how to help their clients properly prepare their businesses for a sale. Second, a good business broker is a master at confidentiality locating frozen food processors business sale prospects and guiding sellers through negotiations. Typical brokerage rates (a.k.a. success fees) run 10% of the final price - an expense that is usually recouped through a higher sales price and less time on the market.
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