Business Exits By Industry
Selling a Cable and Wire Business
The decision to sell your cable and wire 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.
When the economy recovers, we expect to see a sudden influx of cable and wire businesses in the business-for-sale marketplace. Although these companies have been for sale, their owners have resisted listing them until a better economy materializes.
Success is a factor of preparation, execution and a keen eye for the market. Since your future goals depend on the outcome of your sale, you'll need to have your head in the game from Day One.
Selling a Cable & Wire Business to an Employee
Employee sales have pros and cons. A key employee may seem like a natural sales prospect. If you need to sell quickly, the timeframe is condensed in an employee sale because you don't need to track down a buyer. Yet most employees lack the means to buy their employer's business at or near the asking price. Seller financing is one way to get around the capital deficit of an employee-based cable and wire business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.
After the Sale
Due diligence has ended and you're ready to close on the sale of your cable and wire business. All that stands between you and the sale proceeds is a few signatures, right? Not so fast. Handing over the keys and saying goodbye to your employees is easier said than done, and requires thoughtful consideration prior to closing. If there are pending details that still need to ironed out, address them ASAP to ensure a smooth closing and transition.
Maintaining Objectivity
Objectivity is a rare commodity in a business sale. Sellers typically overvalue their companies compared to the rest of the marketplace. It is difficult for many owners to accept the cold, hard facts about their company's worth, but objectivity is the name of the game in a successful cable and wire business sale. A business broker can be a valuable resource in right-sizing your expectations and preparing you for market realities.
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