Business Exits By Industry

Selling a Chemical Milling Business

With the economy struggling to rebound, the shadow inventory of chemical milling businesses in the business-for-sale marketplace seems to be rising. That could make this the perfect time to list a successful chemical milling business

Market timing is a perennial problem for business sellers.

Eventually, it will the time will come to exit your business. As a consequence, you have a substantial stake in knowing how to receive maximum price for your chemical milling business.

Valuation Methods

Multiple valuation methods exist for a chemical milling business. While the income method uses anticipated revenues as a value basis, the asset method focuses on the company's capital, real estate and intellectual assets. In many sales, the most accurate valuation comes from the market method which determines value based on the recent sales of similar businesses. As a safeguard, consider conducting appraisals using variations of multiple appraisal methods. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.

Understanding Market Timing

Now may be the best time to sell a chemical milling business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on chemical milling businesses. As the interest rates rise, it will be more difficult for buyers to make the numbers work in their favor. So we see market timing as a concern that can be easily mitigated by applying fundamental sales strategies and adequately preparing your company for buyers.

How to Choose a Business Broker

First-rate business brokers deliver prospects and profits to their clients. In the chemical milling business industry, experience is a must-have characteristic for qualified brokerage. The best brokers should also come with a list of references, a demonstrable track record and a proven plan for selling chemical milling businesses.

Share this article


Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities

Contributors

Business Glossary