The buzz in the marketplace is that now isn't the right time to sell a group psychotherapy business. Consequently, sellers are holding their businesses off the market until they are sure the market will sustain their asking prices.
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Success is a factor of preparation, execution and a keen eye for the market. Since your future goals depend on the outcome of your sale, you'll need to have your head in the game from Day One.
Hoping for a quick group psychotherapy business sale? You may be disappointed. The amount of time your business will be on the market depends on how aggressively it is priced and marketed. Before you can list your group psychotherapy business, you'll need to invest as much as a year in preparing it for prospective buyers. In a good market, an attractive group psychotherapy business can sell in as little as a few months, although it can take more than a year to find the right buyer after the business is listed.
Turning the Tables: Buyer Concessions
Most group psychotherapy business sellers realize they will need to offer concessions to sell their businesses. But for every concession you grant, there may be an opportunity to obtain a concession from the buyer. For example, if the buyer needs seller financing, you can leverage a five-year loan to push for a higher sales price. Although you won't see all of the proceeds upfront, you'll earn interest on the balance and realize a higher price than you would in an all cash deal. Like seller concessions, buyer concessions should be addressed during negotiations, before the preparation of a Letter of Intent.
Handling Unexpected Outcomes
Every business seller dreams of a fast sale and a fat payday. But it's highly unlikely that the sale will meet all of your expectations, especially if your initial estimates were created without the benefit of a solid appraisal or market knowledge. Despite your best efforts, you need to prepare yourself for the possibility of receiving less than you expected from the sale of your group psychotherapy business. If buyers don't seem to be willing to meet your expectations, consult with your broker to modify your strategy and market approach.
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