Mastering Niche Market Exit Planning
Selling a Newsletter and Small Publication Production Services Business
No one said selling your business in a depressed economy would be easy. Fortunately, a newsletter and small publication production services business sale isn't as scary as it seems.
If you plan on selling your newsletter and small publication production services business quickly, prepare to be disappointed.
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.
Sale Preparation Timeframes
Preparing a newsletter and small publication production services 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. At a minimum, plan on spending six months preparing your newsletter and small publication production services business for the marketplace. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Seller concessions are becoming more commonplace in business-for-sale transactions. By far, seller financing is the most sought-after concession, especially in the current economic environment. Capital is scarce, causing new entrepreneurs to rely on sellers to finance at least part of the purchase price. As an alternative, clearly state that seller financing is not an option and consider offering other concessions to see the sale through to its completion.
How Much Does It Cost to Sell a newsletter and small publication production services business?
In a newsletter and small publication production services business 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. Professional consultations can also represent a significant expense during the course of a newsletter and small publication production services business sale. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
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