Exit Planning Advice By Market
Selling an Air and Gas Filters Business
At first glance, an unstable economy would seem to be an unfriendly atmosphere for an air and gas filters business sale. Don't be deterred by economic uncertainty. There are plenty of reasons why this is the right time to put your air and gas filters business on the market.
The economy isn't the only thing that is uncertain these days. So are air and gas filters business buyers, many of whom are waiting to pull the trigger on their next acquisition.
However, serious buyers also understand the value of a good air and gas filters business. So for air and gas filters business sellers, today's market is all about convincing buyers that the numbers make their companies worth the asking price.
Business Assets
It's incumbent on buyers to commission their own appraisal of your air and gas filters business's physical assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. During your appraisal process, you should also note the condition of your assets. Cost-effective repairs can then be made before your list your air and gas filters business.
Sale Preparation Timeframes
There are no effective shortcuts for selling an air and gas filters 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. You'll also need to create financial reports, operations manuals, and other documents to create the perception of a turnkey air and gas filters business operation. At a minimum, plan on spending six months preparing your air and gas filters business for the marketplace. However, to command the highest price, you'll probably need to spend one to two years preparing and positioning your business for buyers.
Benefits of Third-Party Assistance
Rarely, if ever, do owners sell an air and gas filters business without outside assistance. Brokers can be an important resource for your sale, especially if you are unfamiliar with the business-for-sale marketplace. We also suggest hiring an attorney, an appraiser, and an accountant early in the process. The early recruitment of external resources reduces your risk and results in a more predictable final outcome.
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