Preparing to Sell Your Business
The choice to sell your business is one of the most important financial and emotional decisions you’ll ever make.
You owe it to yourself, your family, and your employees to approach its sale with the same careful planning and dedication you put to work in building your business.
To attract quality buyers to secure the best possible outcome is of paramount importance and to do so you need to work with a dedicated full-time business intermediary.
At VR, we are acutely aware of what it takes to sell a business. Selling a business to the right buyer at the best price is hard work and we’re there with you every step of the way.
We know there are no shortcuts to success.
We will provide you with the same level of service and professional resources that a large institutional client receives from the finest investment bank. Our goal is simple: to maximize the value you gain from selling your business.
Read on to learn more about preparing your business for sale and about the selling process. If you have questions or want more information, please give us a call or email us at firstname.lastname@example.org for more information.
To achieve the best end results, the smart business owner approaches the selling process with the same planning and discipline that they use in the day-to-day operation. We can help you prepare your business for sale-now or in the future-to achieve maximum gain.
Key items needed to ensure a successful transaction include
- Provable books and records: Buyers want proof of sales and profits the business has attained in the past. Having provable records will increase the number of potential buyers.
- Reasonable expectation of price and terms: Educated buyers only consider competitively priced businesses.
- List of assets including furniture, fixtures, equipment, and complete inventory: Having lists or assets that can be referenced during inspection reinforces what the buyer will be purchasing.
- Attractive lease: Knowing the terms of assignment or of a new lease moves the buyer closer to making an offer.
- Best possible appearance: Business premises that are neat, clean and in good repair gives the buyer confidence that the business is well run.
- Professional valuation of the business: It creates a document that proves value to the buyer and shows the business to be competitively priced.
- Covenant not to compete: Preparing the terms of non-competition within an appropriate distance and for a reasonable period of time gives the buyer assurances that you will not go into competition with them because you know all the customers.
- Specific reason for sale: This could include retirement, burnout, and simply a desire for change. Buyers will want to understand the reason for sale and be comfortable that there is no undisclosed information that could negatively affect their investment in the future.
- No surprises: Most adverse situations, such as landlord problems, outstanding loans, tax arrears, unfavorable equipment leases and even non-compliance with zoning, health or other regulations can be overcome if known to your professional VR intermediary.
Keep-in-mind that anything that increases sales also increases profits and the all-important cash flow!
Make it easy on the buyer to make a positive decision by making certain your business shows like a winner.