Niche Market Exit Planning Tips
Selling a Bicycle Wholesale and Manufacturers Business
You've learned a lot during your tenure as a bicycle wholesale and manufacturers business owner. The next step is to position your business for the demands of the business-for-sale marketplace.
In a down economy, many bicycle wholesale and manufacturers business sellers wait to list their businesses until they see signs that the economy has rebounded, making it difficult to accurately evaluate the number of bicycle wholesale and manufacturers businesses that are actually for sale.
Fortunately for sellers, forward-thinking entrepreneurs continue to be attracted to bicycle wholesale and manufacturers businesses that exhibit strong financials and potential for future growth.
Equipment and Inventory Concerns
It's incumbent on buyers to commission their own appraisal of your bicycle wholesale and manufacturers business's physical assets. Most sellers, however, conduct a pre-sale appraisal to gain an accurate gauge of asset value prior to negotiations. A professional appraisal is a necessity because it gives you the information you need to negotiate a sale price. When you conduct your appraisal of your assets, note their condition and include it in the information packet you prepare for prospective buyers.
Working with Accountants
Professional accountants lend credibility to the financial preparation of a bicycle wholesale and manufacturers business sale. From a seller perspective, an accountant can offer personal financial assistance, especially when it comes to handling the disposition of sale proceeds. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.
Average Preparation Time
There are no effective shortcuts for selling a bicycle wholesale and manufacturers business. Buyers want to see growth trends, healthy profits and other variables that increase the likelihood of long-term success. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a bicycle wholesale and manufacturers business can rarely be ready for the marketplace in less than six months. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
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