Selling a Company Advice
Selling a Used and Waste Oils Business
Is the economy still a little shaky for a business sale? Sure it is. Yet used and waste oils businesses haven't been deterred. In fact, we think this economy is a ripe environment for a used and waste oils business sale.
Business buyers are a timid lot, even more so now that they are facing an uncertain economic landscape.
Too often used and waste oils business owners sell for a price that is well below market value. With the right strategy, your sale doesn't have to end that way.
Preparing Your Employees
As a business owner, you want to keep you employees informed about your plans; as a seller it's in your best interest to keep your employees in the dark for as long as possible. The more people who know that the business is on the market, the riskier the sale becomes. If you keep your employees out of the loop too long, it's inevitable that misinformation will filter throughout your workplace. So at some point you will have to resign yourself to the idea of telling some or all of your employees that you have listed the used and waste oils business on the market. Your employees will undoubtedly have many questions about their future with the company. Try to answer their questions to the best of your ability, but avoid making any promises that you are not authorized to make.
Sale Preparations for Your Used & Waste Oils Business
Like it or not, a good business sale takes time. Attractive used and waste oils business sales begin with a comprehensive strategy that incorporates planning, preparation and market positioning. Even though it may take years to adequately position your used and waste oils business, the amount of preparation you perform will have direct correlation on asking and sale prices. But your efforts to improve your company's position and profitability will only be effective if you invest similar effort into the preparation of accurate financial statements for buyers.
Advantages of Hiring a Broker
There are many reasons why hiring a broker makes sense in used and waste oils business sales. Right out of the gate, brokers know how to help their clients properly prepare their businesses for a sale. Even more, the best brokers have a track of record of discreetly identifying likely buyers and contacting them on your behalf. Typical brokerage rates (a.k.a. success fees) run 10% of the final price - an expense that is usually recouped through a higher sales price and less time on the market.
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