Waiting for better economic times to sell your company? That's a common anthem in the small business community.
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Success is a factor of preparation, execution and a keen eye for the market. As a business seller, you need to go into the process with the mental goal of presenting your business in the best possible light.
In a lawn and garden service sale, pricing is based on a number of factors, including the costs incurred during the sale. Good brokerage takes a 10% success fee off the top of the final sale price. Depending on your circumstances, you may also incur substantial expenses in hiring legal, appraisal and accounting professionals. If you need to compensate employees to assist with the sale, their services should also be considered.
What to Expect in a Lawn & Garden Service Sale
It's impossible to predict the emotional highs and lows you will experience during the sale of your lawn and garden service. The emotions of a sale are complicated by the fact that it may take time to locate the right buyer and the final sale price may be less than you think your lawn and garden service is worth. You can prepare yourself by talking through your emotions with friends and family members, and thoroughly evaluating your minimum requirements before you put your lawn and garden service on the market.
Tips for Seller Financing
Capital is hard to come by these days. Financial institutions have tightened up their lending policies, making it difficult for inexperienced and undercapitalized entrepreneurs to buy lawn and garden services. As a result, buyers expect sellers to finance a significant portion of the sale. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Given your interest in exit planning and in lawn and garden services, you might find these additional resources to be of interest.
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