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 off-track betting business.
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There is no simple way to sell a business. But the most prepared off-track betting business sellers are achieving fair market value and more for their companies through persistence and the application of sound selling techniques.
Average Preparation Time
There are no effective shortcuts for selling an off-track betting 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. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. At a minimum, plan on spending six months preparing your off-track betting 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.
Pros & Cons of a Sale to an Employee
Although it may seem easier to sell your off-track betting business to an employee, this approach also has some pitfalls. A key employee may seem like a natural sales prospect. Since the worker already knows the ins and outs of the business, due diligence should be a breeze, not to mention the fact that you won't have to wait months or years for the right buyer to emerge on the open marketplace. Yet most employees lack the means to buy their employer's business at or near the asking price. A seller-financed deal may be necessary unless the employee has significant assets or investor backing.
Working with Accountants
Accountants come into play at several stages of the sale process. Most off-track betting business have significant tax consequences requiring the input of a qualified accountant. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. In many instances, your accountant will be invaluable in evaluating prospective buyers' financial position and buying capacity.
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