Sell a Business for the Best Price
Selling a Precast Concrete Business
Market shifts affect business values and the precast concrete business industry has seen more than its share of fluctuations in business values. Many sellers have exited their companies under less-than-ideal circumstances. Yet it's still possible to achieve personal and professional goals when selling a precast concrete business in the current economic environment.
The economy isn't the only thing that is uncertain these days. So are precast concrete business buyers, many of whom are waiting to pull the trigger on their next acquisition.
Starting a precast concrete plant is a big undertaking. There are a multitude of issues and obstacles that must be addressed.
In order to market a precast concrete business now, business sellers may need to apply a combination of incentives and techniques.
Identifying Serious Buyers
Unfortunately, many of the prospects you will encounter aren't serious buyers. As a seller, it's important to separate the tire kickers from the serious buyers as soon as possible. Each tire kicker is an investment of time and energy that could be poured into finding a more qualified prospect. Your business broker can offer insights about how to quickly spot tire kickers. Never provide detailed information about your precast concrete business until the prospect has been qualified as a serious buyer.
Average Preparation Time
Preparing a precast concrete 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. Since all of this takes time and effort, a precast concrete business can rarely be ready for the marketplace in less than six months. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Signs You're in Over Your Head
Many precast concrete business are tempted to save brokerage fees by selling their businesses on their own. Although there are exceptions, solo sales typically take longer and are less productive than brokered sales. As a rule, no business should sit on the market for more than six months without attracting the interest of at least a handful of qualified buyers. Lack of buyer enthusiasm or persistence indicates that something is wrong. The remedy is professional brokerage or a consultation with more experienced sellers.
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