Exit Planning Advice By Market
Selling an Audio and Video Store
Despite the pessimistic mood of many sellers, your audio and video store can be a high value acquisition target for ambitious entrepreneurs -- even in today's tough economy.
Economic data is scary stuff for small business owners. But quarterly data dumps don't impact audio and video store sales nearly as much as sale strategy.
However, serious buyers also understand the value of a good audio and video store. To sell your audio and video store, you'll need to go the extra mile to prove your company has the potential to deliver steady revenue and a solid ROI.
Preparing for What's Next
The decision to sell your audio and video store can't be made without adequate consideration of what will happen after the sale. many sellers find themselves ill-equipped to handle life after their business and fail to understand that their future plans can influence the sale process. For example, seller financing can be an extremely valuable concession, especially in the current economy. But if you need all of the proceeds of the sale upfront, seller financing is off the table and you'll need to find a different way to make your audio and video store attractive to buyers.
Brokerage Benefits
A good broker can offer several benefits to business sellers. 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. Although you will pay a fee for brokerage, it's generally worth it because the end result will be a higher sales prices and more favorable terms.
Tips for Seller Financing
The shortage in today's marketplace isn't interested buyers -- it's capital. Thanks to more stringent commercial lending requirements, sellers have become de facto lenders, providing the financing buyers need to get their feet in the door. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
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