Mastering Niche Market Exit Planning
Selling a Nurseries Business
A good business is about more than dollars and sense. To make your nurseries business what it is today, you've had to fully invest yourself in its success. But the hard work isn't done yet. Before you can make a graceful exit, you will have to invest yourself in your business sale.
Business buyers are a timid lot, even more so now that they are facing an uncertain economic landscape.
The economy hasn't squashed the market for nurseries businesses. And the ones that are commanding the highest price tags are the ones with sellers who are committed to the sale process.
Average Preparation Time
There are no effective shortcuts for selling a nurseries business. Buyers want to see growth trends, healthy profits and other variables that increase the likelihood of long-term success. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a nurseries business can rarely be ready for the marketplace in less than six months. If you can afford to wait, we recommend investing a few years in improving your business's financial position before you put it on the market.
Working with Accountants
Professional accountants lend credibility to the financial preparation of a nurseries business sale. From a seller perspective, an accountant can offer personal financial assistance, especially when it comes to handling the disposition of sale proceeds. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. In certain instances, it may be appropriate to ask your accountant to vet the financials of prospective buyers, run credit checks or even structure the terms of a seller-financed deal.
Business sellers are sometimes surprised to find themselves in the position of negotiator-in-chief. When you sell your nurseries business, your business brokers may or may not be willing to conduct negotiations for you. But although you will responsible for negotiating terms with buyers, you should never approach negotiations without support. Good negotiation teams support sellers, giving them insight and advice about how to overcome buyer objections and drive the process forward to a successful conclusion.
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