You survived all the ups and downs of owning a business. Next, you'll need to prepare yourself to address the rigors of selling an excavating and ditching equipment business.
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Eventually, it will the time will come to exit your business. And when that day arrives, you need to know how to sell your excavating and ditching equipment business in a way that achieves positive outcomes for you and the business.
When Is the Right Time to Sell?
When is it the right time to sell your excavating and ditching equipment business? If you're asking the question, now may be the time to put your business on the market. Some experts are telling excavating and ditching equipment business sellers to put their plans on hold until the economy fully rebounds. We aren't nearly as pessimistic about the excavating and ditching equipment business marketplace. The inventory of what we consider to be quality excavating and ditching equipment businesses is actually low right now and there is room for the right sellers to realize substantial gains with investment-conscious buyers.
Pros & Cons of a Sale to an Employee
Employee sales have pros and cons. A key employee may seem like a natural sales prospect. If you need to sell quickly, the timeframe is condensed in an employee sale because you don't need to track down a buyer. Yet most employees lack the means to buy their employer's business at or near the asking price. Seller financing is one way to get around the capital deficit of an employee-based excavating and ditching equipment business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.
Working with a Professional Accountant
Accountants lay the financial groundwork for a business sale. From a seller perspective, an accountant can offer personal financial assistance, especially when it comes to handling the disposition of sale proceeds. You may also want your accountant to assist in the preparation of professional financials to present to serious buyers. In certain instances, it may be appropriate to ask your accountant to vet the financials of prospective buyers, run credit checks or even structure the terms of a seller-financed deal.
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