Dire economic forecasts have forced many parking garage sellers into hibernation. Instead of listing their companies now, they're hanging back until they see signs of an economic recovery.
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The economy hasn't squashed the market for parking garages. Like always, unprofitable and poorly positioned businesses struggle to find buyers while sellers who have invested time and effort to prepare their sale are being rewarded in the marketplace.
Sellers aren't the only ones who can make concessions in a business sale. In many instances, sellers can request buyer concessions. Although this scenario frequently plays out around seller financed deals, it's possible to push for a higher sales price or other form of compensation if you agree to mentor the buyer for a specified period of time. Asset exclusions, retained ownership shares and long-term contracts with another of the seller's companies can also be leveraged to extract concessions from buyers.
How to Work with Business Brokers
Brokerage is a mainstay of the business-for-sale marketplace. It's typical for parking garage to rely on brokers to reduce market time and increase the final sales price. However, your broker will still expect you to materially participate in the sale of your business. Establish clear lines of communication with your broker and respond quickly to requests from prospective buyers. You should also assist your broker in listing your parking garage on BizBuySell.com and other online business-for-sale sites.
Setting the Stage
Effective parking garage preparation focuses on communicating value to prospective buyers. Professional business brokers understand buyers and know how to properly communicate a parking garage to the marketplace. At a minimum, you'll want to position your business to receive the highest possible sale price, prepare a packet for prospective buyers and perform an initial appraisal before you put your parking garage on the market.
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