Exit Planning Tips

Selling a Home Child Care Business

Owning a home child care business hasn't always been a bed of roses, but it's been worth the effort. The next step is to position your business for the demands of the business-for-sale marketplace.

Selling a home child care business isn't as simple as listing a power tool on eBay. These days, the business-for-sale market is a hostile place for inexperienced and uninformed sellers.

Yet what many sellers don't appreciate is that a down economy can present the perfect opportunity to sell a home child care business.

Preparing Family Members

Many sellers embarked on their home child care business sale without adequately considering the impact it will have on their families. Whether you realize it or not, your home child care business has been an important part of your family life. The sale of the business will likely result in new family dynamics. Subsequently, selling a home child care business often begins with a family conversation and a mutual decision to move on the next stage of life.

Dealing with Tire Kickers

Many prospective buyers will have a strong desire to acquire your home child care business. The bad news is that they will lack the financial capacity to close the deal. As a seller, it's important to separate the tire kickers from the serious buyers as soon as possible. Each tire kicker is an investment of time and energy that could be poured into finding a more qualified prospect. Good business brokers are adept at separating serious buyers from the rest of the pack. Never provide detailed information about your home child care business until the prospect has been qualified as a serious buyer.

Post-Sale Details

As your home child care businesssale nears completion, there is a lot of work remaining to be done. The transition to the new owner, the distribution of sale proceeds and other issues can weigh heavily on sellers. If there are pending details that still need to ironed out, address them ASAP to ensure a smooth closing and transition.

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary