May 28, 2020 is a daily online magazine covering small business news. We help entrepreneurs transform ideas and innovations into greatness.

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Selling a Company


Selling a Greenhouses Business

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

Economic data is scary stuff for small business owners. But quarterly data dumps don't impact greenhouses business sales nearly as much as sale strategy.
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In order to market a greenhouses business in this environment, business sellers may need to apply a combination of incentives and techniques.

Working with Accountants

Accountants lay the financial groundwork for a business sale. Most greenhouses business have significant tax consequences requiring the input of a qualified accountant. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.

Average Preparation Time

Preparing a greenhouses business sale takes time. 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. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a greenhouses business can rarely be ready for the marketplace in less than six months. However, to command the highest price, you'll probably need to spend one to two years preparing and positioning your business for buyers.

Seller Financing

Capital is hard to come by these days. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized greenhouses business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.

More Exit Planning Articles

Given your interest in exit planning and in greenhouses businesses, you might find these additional resources to be of interest.

Entrepreneurial Exit Strategies

Marketing a Greenhouses Business

Pros and Cons of Using Business Brokers

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Do you have any more tips on how to sell a greenhouses business? If so, submit your comments and suggestions so other entrepreneurs can learn from your experience.

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