How to Prepare Your Pre-Sale To-Do List, and Where to Seek Help
Business owners face two emotionally-charged issues when considering the sale of their business:
Why Do You Want to Sell?
You may be at a critical stage in either or both your personal and professional life that prompts you to want to sell your business. In our work with scores of small business owners like yourself, here are the top 5 reasons entrepreneurs claim as a sense of urgency to sell.
- I birthed this baby! How hard will it be to give it up and sell?
- Are the 6 Drivers of Business Value positioned for peak sale?
Be sure to refresh your understanding of each by reviewing last month’s article, entitled 6 Value Drivers and 6 Emotional Drivers They Trigger. You’ll find answers to, “Are you truly ready to sell?” … see the top 5 reasons entrepreneurs claim as a sense of urgency to sell; and “Will you take the steps necessary to prepare your business to sell at peak sale value?”
There’s a lot at stake … both emotionally and financially … along with potential health and family considerations. So, read on and profit from a Checklist for Success – a simple planning tool to better ensure your pre-sale prep and post-sale victory.
To enjoy the maximum value from the following, view each item and evaluate your answer in light of how it will be perceived by prospective buyers … positive, negative or neutral. Remedying negative, and even neutral, perceptions will improve the value and “salability” of your business. And here it is.
So, from the perspective of a prospective buyer, how does your business stack up? The above exercise will likely help you identify some deficiencies that need to be remedied. That’s to be expected. Qualified buyers are considering purchase alternatives. Demonstrating solutions that ensure the above are in place and working, ranks your selling proposition superior to other acquisition candidates.
It’s likely that reviewing the Checklist leaves you with the conclusion that you’re too busy to sell your business! You already have a full-time job running the very business you seek to sell.
Recommendation: “Stick with the knitting” to enhance the peak sale value of your business.
That points to the need for expert advice and execution by a proven advisory and business broker resource that will work with you to groom your business for maximum curb appeal and peak sale value. Your company is unique … and advisory services must be tailored accordingly … never a one-size-fits-all formulaic approach.
OK. Let’s look at the process of selling your business and the 4-step fulfillment a proven advisory and business broker resource should deliver.
- Choose and monitor a proven expert valuation.
- Profile your company’s processes, pricing and customers.
- Target those elements that need attention to enhance the intrinsic value of the company.
- Determine best transition strategy – family/employees/outside buyers.
- Initiate plans for the company to be in peak condition both operationally and profitably.
- Create a listing agreement which describes the company – anonymously, of course.
- Partner with key trusted business advisors as necessary to best serve your needs.
- List the company for sale through a wide-spread local network and national contacts.
- Promote the value proposition of your business to sales network resources.
- Be the initial point of contact for inquiries and screen prospect introductions.
- Qualify buyer prospects to interview
- Help to determine best potential buyers
- Coordinate due diligence of qualified buyers
- Manage negotiations
- Assist with closing the sale
Post-sale advice, guidance and exit-strategy counseling.
There is help available.
We’ll work with you to tailor your best exit-strategy via sale or succession planning
Our Commitment to You: Deliver action-oriented business advice to maximize your company’s
peak sale value … and promote its sale through our local and national network of qualified buyers.
Your answers are a phone call or email away.