Optimizing Business Exits
Selling a Roofing Equipment and Supplies Wholesale and Manufacturers Business
You've learned a lot during your tenure as a roofing equipment and supplies wholesale and manufacturers business owner. The next step is to position your business for the demands of the business-for-sale marketplace.
You survived all the ups and downs of owning a business. Next, you'll need to prepare yourself to address the rigors of selling a roofing equipment and supplies wholesale and manufacturers business.
Yet what many sellers don't appreciate is that a down economy can present the perfect opportunity to sell a roofing equipment and supplies wholesale and manufacturers business.
Sale Costs
The calculation of your asking price should include a buffer to cover the expense of the sale process. Hiring a broker is a mixed bag because although brokers can increase the sale price, they also take a 10% fee. Attorneys, accountants and appraisers work for a flat fee that can range from hundreds to thousands of dollars. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
Average Preparation Time
There are no effective shortcuts for selling a roofing equipment and supplies wholesale and manufacturers business. 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 roofing equipment and supplies wholesale and manufacturers 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.
Leveraging Seller Concessions
In the current marketplace, seller concessions can make the difference between a business sale and a roofing equipment and supplies wholesale and manufacturers business that languishes on the market for months or even years. The most common seller concession is seller financing. Capital is scarce, causing new entrepreneurs to rely on sellers to finance at least part of the purchase price. If you are unwilling or unable to offer financing, be prepared to offer other types of concessions to close the deal.
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