Niche Market Exit Planning Tips
Selling a Banquet Services Business
The decision to sell your banquet services business isn't something that should be taken lightly, especially these days. If a business exit is on the horizon, you'll want to check out our suggestions for staying ahead of the market.
Today's banquet services business buyers tend to be more skeptical than most about the nation's economic outlook.
At Gaebler, we think that's a mistake because with adequate preparation and the right sale strategy, this might be the best time to put your banquet services business on the market.
Sweetening the Deal
Today's banquet services business buyers expect sellers to offer concessions to persuade them to close the deal. But don't limit your view of concessions to financial incentives. When you've reached your limit on price, consider offering non-cash concessions to encourage a commitment from the buyer. In the current economy, seller financing is becoming common in banquet services business sales. If the prospect is inexperienced or lacks credentials in the industry, you can also offer to stay with the business for a specified period of time to help the new owner get on his feet and introduce him to your network of industry contacts.
Preparing for What's Next
The decision to sell your banquet services business can't be made without adequate consideration of what will happen after the sale. many sellers find themselves ill-equipped to handle life after their business and fail to understand that their future plans can influence the sale process. In today's market, many buyers expect seller financing - a concession that might not be a possibility for sellers whose next step requires the entire proceeds at the time of the sale.
Hiring an Attorney
It pays to invest in first-rate legal counsel when you sell a banquet services business. Competent legal counsel ensures that the sale documents are in proper order. Furthermore, a good lawyers provides the counsel necessary to navigate the tax and liability issues that surround a business sale. We recommend hiring an attorney early in the process to gain insights about the legal consequences of various sale outcomes.
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