Business Exit Planning
Selling a Mobile Home Service, Repair, and Improvements Business
Few entrepreneurs relish the idea of selling a business in a struggling economy. Yet mobile home service, repair, and improvements businesses continue to be sold at a brisk pace, outperforming the sales of many other types of businesses.
Waiting for better economic times to sell your company? That's a common anthem in the small business community.
Although we understand why sellers are hesitant, we're also seeing enough business sales to know that if you want to sell a mobile home service, repair, and improvements business, you can - even in today's economy. We'll tell you what you need to know to achieve a successful sale outcome
Business Valuation
The methods for valuing a mobile home service, repair, and improvements business vary according to your business model and circumstances. However, there are generally three valuation methods appraisers use to determine your company's worth. While the income method uses anticipated revenues as a value basis, the asset method focuses on the company's capital, real estate and intellectual assets. Finally, the market method determines the worth of your mobile home service, repair, and improvements business based on the sales of similar businesses in your geographic area. A good appraiser will often use multiple valuation methods to arrive at a reasonable estimate. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
Understanding Market Timing
Now may be the best time to sell a mobile home service, repair, and improvements business. With interest rates at all-time lows, it's easy to see why mobile home service, repair, and improvements businesses are an appealing investment opportunity for savvy investors. Sooner or later, rates will rise, increasing the risk for prospective buyers of mobile home service, repair, and improvements businesses. So we see market timing as a concern that can be easily mitigated by applying fundamental sales strategies and adequately preparing your company for buyers.
Broker vs. No Broker
Anyone who has ever sold a mobile home service, repair, and improvements business has eventually needed to decide whether to use a business broker or go it alone. Is there a cost associated with hiring a broker? Sure - about 10% of the final sale prices. But a good broker will make selling your mobile home service, repair, and improvements business much less painful. You can also expect to receive a higher sales price for your business in a broker-assisted deal.
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