How to Sell a Niche Market Business
Selling an Educational Books Business
No one said selling your business in a depressed economy would be easy. Fortunately, a educational books business sale isn't as scary as it seems.
Business sellers sometimes face a long, hard struggle to get fair market value for their companies. But with the adequate preparation, your educational books business can attract buyers who recognize its potential.
At Gaebler, we think that's a mistake because with adequate preparation and the right sale strategy, this might be the best time to put your educational books business on the market.
A good broker can offer several benefits to business sellers. First-rate brokers are extremely skilled at communicating your company's strengths to prospective buyers. More importantly, brokers have the ability to identify serious buyers and maintain confidentiality throughout the sale process. 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.
Current Market Conditions
No one plans to sell an educational books business in a down economy. So far, government intervention and promises that the economy is slowly recovering haven't been enough to alleviate many entrepreneur's fears. But when the economy fully rebounds, a shadow inventory of educational books businesses will flood the market and drive prices down even further. Like it or not, the time to sell your educational books business may be right now, as long as your willing to adequately prepare your business for the marketplace.
Leveraging Seller Concessions
Seller concessions are becoming more commonplace in business-for-sale transactions. By far, seller financing is the most sought-after concession, especially in the current economic environment. Traditional lenders and investors are gun shy - and that makes sellers a logical funding source for many buyers. Other common seller concessions include staying on the mentor the new owner, non-compete clauses, and working as a consultant to mitigate the impact of new ownership.
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