Exit Planning Advice By Market
Selling an Auto Customizing, Conversion, and Restoration Business
You've heard the naysayers - now isn't the time to sell a auto customizing and restoration business. But what they don't know is that many entrepreneurs see auto customizing, conversion, and restoration businesses as a smart business investment.
Cutting corners never pays off, especially in the sale of an auto customizing and restoration business.
In today's market, there is still plenty of room for auto customizing, conversion, and restoration businesses that demonstrate solid earning capacity and a robust market position.
Preparing for What's Next
What will happen if your auto customizing and restoration business is a success? 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. In today's market, many buyers expect seller financing - a concession that might not be a possibility for sellers whose next step requires the entire proceeds at the time of the sale.
Equipment and Inventory Concerns
It's incumbent on buyers to commission their own appraisal of your auto customizing and restoration business's inventory, equipment, and physical assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. Without an accurate assessment of asset values it's impossible to intelligently negotiate on price. When you conduct your appraisal of your assets, note their condition and include it in the information packet you prepare for prospective buyers.
Legal Concerns
A basic understanding of legal requirements is foundational for a successful business sale. Despite the confusion that exists among many sellers, the essentials of the sale are described in the Letter of Intent, a seminal document that is created prior to due diligence . If you are seeking buyer concessions, the time to address them is before the Letter of Intent is drafted. So after consulting with your broker and attorney, make sure you're comfortable with the terms of the Letter of Intent. If not, everything you do to close the sale of your auto customizing and restoration business may be a waste of time.
Share this article
Additional Resources for Entrepreneurs