Sell your business
If you decide to sell your business, there are a few crucial measures that need to be taken to ensure you achieve the desired outcome.
Get things in order
When it comes time to sell your business , in order to create a business that is desirable for buyers, you need to ensure that it can run without you—even if you do not plan on exiting the business post-sale.
It is vital that proper processes are in place so that it operates as a business, not a place where everyone just relies on you. Therefore, it is important that all of your best practices and procedures are well-documented and enforced to prove that.
All of this helps your business operate like a well-oiled machine. Fostering this type of organisation is the most basic thing you need to do in order to sell your business and you should implement it beginning on day one.
Get a Professional Valuation
You cannot just put a random number on the table. Doing so will result in either under-valuing or over-valuing your business.
Hire a professional business valuer to get a realistic value of your business. They will take everything from outstanding debt to assets and receivables into consideration when coming up with an estimation. Having an independent valuation of your business done by non-biased professionals can make the negotiation process go much smoother. This allows you to have a more realistic view of what your business is actually worth, and it also helps the potential buyer understand that the price that you are mentioning is based on impartial advice from a professional that does not have the same emotional connection to the business that the owner does.
Hire a Business Broker
The importance of a business broker should never be underestimated. They have years of experience of satisfactory business settlements. Business brokers know how to facilitate the negotiations and turn the conversation in the right direction. A broker researches the needs of the potential buyer and uses this information to get the best deal.
Professional business brokers know far the buyer is ready to go when starting the negotiating. In most cases, they can get a better price for your business that you would on your own.
Should you be looking to sell your business, call Lee Goldstein the principal of West Australian Business Brokers on 1800 566 872 for a confidential discussion