The Biz Blog
February 24, 2012 by Shelli Margolin
Price is not the only determining factor in procuring a quick sale. You need to get into the buyer mindset and make sure a buyer sees the same value in your business as you do. Here are some no nonsense universal step to getting your business sold fast:
1. Price Price Price!!!
Just like anything else the better the deal, the faster someone will snatch it up.
2. Make it easy to understand -
If someone cant understand how you do business and how you derive your net profit, they generally arent going to buy your business at any price.
- Make sure you have straight forward profit and loss statements for the last three years
- Put together a list of inventory and other assets such as furniture, fixtures and equipment (FF&E) and list their replacement costs.
- Have any employment contracts organized and ready for review
- Organize your customer/client lists
- List out any debt that will need to be dealt with in the sale
3. Write up your story-
How and why you got started in this business, what are the opportunities and the obstacles and why you are selling. Also, tell the story of how your get and service customers/clients, etc.
4. Clean it up-
Make sure the physical business environment will present well. (Unless, of course, you are selling an internet business or a service that wont prompt someone to visit you.) Serious buyers will generally want to meet with you at your place of business. Also note that messy inventories tend to scare away buyers.
5. Review your lease- (unless you are selling property with the business)
Make note of your expiration date, what extension option you have and any transfer clauses. A buyer will either assume your current lease or negotiate a new one depending on the factors within your lease agreement.
6. Get a business broker-
A good business broker will help you get organized and help you determine the best price to expedite the sale. They will also advertise on the plethora of websites (I, for instance, advertise on at least 100 local, national and international sites dedicated to selling businesses). A good business broker will also discreetly market to people within your industry, help you negotiate the best deal and, most importantly, make sure the deal closes.
There are many factors that determine the length of time it takes for a business to sell, price being the most important. Plus, there is a lot that goes into positioning a business for sale and getting it in front of the right buyers. We currently have over 3,000 buyers in our database alone. For a free consultation, please dont hesitate to call me, Shelli Margolin-Mayer, at (310) 882-2200 ext. 128. https://www.bizex.net/business-broker/shelli-margolin
Uncategorized, Restaurants, Services, Entertainment, Business Sales Process, How to Sell, Franchise, Business Valuation, News, Businesses for Sale
