Useful |How to sell your business properly
Sale of an established business is not a simple process. It is a cascade of different steps. And each step is very important and requires a serious attention.
First of all you need to clarify the reasons why you want to sell your business. The process of sale is long and sometimes nervous. You should be strongly motivated to finalize it.
You should clearly realize why your business is interesting to an external buyer. Fix all advantages on a paper. It will help you in the negotiations with a buyer.
Think about timing. Sometimes macroeconomical situation is not favorable for the market valuation of your business. Also buyers don’t believe in future plans and upsides or your business. If you expect significant growth of income in reasonable timeframes, it is better to wait. You will get better price for your business, if you be more patient.
Understand the realistic valuation of your business. You can make online valuation at Business Asset Exchange (http://business-asset.com/). It contains tool which calculates valuation based on prices of comparable businesses in your area.
Also it is good idea to list your offer on this website. Its services are one of the cheapest among peers, while it is one of the most popular globally. It has a lot of visitors from Canada and worldwide.
Fix all legal issues. Check all documents. They all should be in place and correct. Even minor faults in this area will lead to price discounts. Buyers always try to escape from any potential risks. They will prefer to cancel a deal than accepting additional legal risks.
Think about potential candidates. Sometimes your employees and direct rivals are the most natural potential buyers. Make them a business offer first. These guys are familiar with such type of business and comfortable to pay a premium. They will give you the best price.
Another good way is online business marketplaces. For example, above mentioned Business Asset Exchange. They are quite efficient and nowadays attract more buyers than any other sources. Even if you hire business broker, finally he will list your offer on such specialized marketplaces. You can do it yourself and not waste your money and time.
Once you find the potential buyer we recommend you to hire a professional legal adviser. Proper legal implementation of the deal is extremely important. Don’t pinch pennies. You can lose your money and business. Quality legal services are worth the cost.