Advice on Niche Market Exit Planning

Selling a Tools Wholesale and Manufacturers Business

Business sellers have diverse personal and professional goals for the sale of their companies. But no matter what you expect from the sale of your tools wholesale and manufacturers business, it's in your best interest to maximize the sales price through the application of proven sales techniques.

Dire economic forecasts have forced many tools wholesale and manufacturers business sellers into hibernation. Instead of listing their companies now, they're hanging back until they see signs of an economic recovery.

In our opinion, that kind of thinking doesn't make sense. In fact, this might be the perfect time to sell a tools wholesale and manufacturers business. Here's how to do it . . .

Buyer Concessions

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. You can also choose to exclude certain items like equipment or inventory from the deal if the buyer isn't willing to meet your price expectations. By selling excluded assets on the secondary market, you can compensate for an anemic sale price.

How Much Does It Cost to Sell a tools wholesale and manufacturers business?

In a tools wholesale and manufacturers business sale, pricing is based on a number of factors, including the costs incurred during the sale. Hiring a broker is a mixed bag because although brokers can increase the sale price, they also take a 10% fee. Professional consultations can also represent a significant expense during the course of a tools wholesale and manufacturers business sale. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.

Laying the Groundwork

Effective tools wholesale and manufacturers business preparation focuses on communicating value to prospective buyers. Professional business brokers understand buyers and know how to properly communicate a tools wholesale and manufacturers business to the marketplace. Specifically, brokers can advise you about the preparation of financial statements and other documents buyers expect to see in a premium tools wholesale and manufacturers business opportunity.

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