Business Exits By Industry
Selling a Coffee Roasting and Equipment Business
In any market, there are sellers and then there are serious sellers. We'll give you the tools you need to be taken seriously when you decide to sell your coffee roasting and equipment business.
Business sellers are notorious for second-guessing themselves about the right time to put their companies up for sale.
The economy hasn't squashed the market for coffee roasting and equipment businesses. Like always, unprofitable and poorly positioned businesses struggle to find buyers while sellers who have invested time and effort to prepare their sale are being rewarded in the marketplace.
When to End Negotiations
The negotiation stage of a coffee roasting and equipment business can seem never-ending. But sooner or later, someone needs to bring negotiations to a close. Unfortunately, that responsibility often falls on the seller. In a coffee roasting and equipment business sale, a stalled negotiation can be an indication that the deal is dead. At this point in the process, an awareness of negotiation parameters really pays off. If the buyer is unwilling to accept your minimum demands, it's time to end negotiations and move on to the next prospect.
Professional Appraisals
An experienced appraiser is part and parcel of a successful coffee roasting and equipment business sale. By hiring an appraiser to conduct a thorough appraisal of tangible and non-tangible assets prior to listing, you get a measure of the true worth of your business. Although the appraised value of your business may not be the same as the sales price, you gain valuable insight that can be used to your advantage during negotiations. Even though you may disagree with the appraiser's value estimates, it's important to give your appraiser the information and independence he needs to present an objective opinion. To ensure accuracy, ask your broker to provide references for appraisers with industry experience.
Timing the Market
Timing is everything when it comes to selling a coffee roasting and equipment business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on coffee roasting and equipment 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.
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