Optimizing Business Exits
Selling a Rustproofing Business
You've learned a lot during your tenure as a rustproofing business owner. The next step is to position your business for the demands of the business-for-sale marketplace.
The rustproofing business-for-sale marketplace is a nuanced environment, full of pitfalls for sellers who aren't prepared for its demands.
If your exit strategy involves selling a rustproofing business in this environment, sellers need to make a strong case for buyers to purchase at or near the asking price.
Selling a Rustproofing Business to an Employee
There are both benefits and drawbacks to selling a rustproofing business to an employee. A faithful employee may have the motivation and ability to continue to operate the business. The time and expense of locating the right buyer will be nonexistent and you won't have to spend weeks showing the buyer every square inch of the company. Yet most employees lack the means to buy their employer's business at or near the asking price. A seller-financed deal may be necessary unless the employee has significant assets or investor backing.
What About Market Conditions?
No one plans to sell a rustproofing business in a down economy. Entrepreneurs and investors still exhibit healthy skepticism, despite initial indication that recovery has begun. But when the economy fully rebounds, a shadow inventory of rustproofing businesses will flood the market and drive prices down even further. Like it or not, the time to sell your rustproofing business may be right now, as long as your willing to adequately prepare your business for the marketplace.
Maximizing Sales Price
There are no simple ways to sell a rustproofing business. If you don't know what you're doing, your business could languish on the market for months or even years. Fortunately, a business broker can minimize the impact on your bank account and personal well-being. If you try to sell your business without a broker, your time will be consumed by the details of the sale. Subsequently, you'll be distracted from the demands of your auto supply store, business will suffer, and the sale price you receive for your company will be dramatically reduced. For a lot reasons, a decision to hire a broker is almost always the right decision, especially for sellers who need to receive top dollar for their rustproofing businesses.
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