Business Exits By Industry
Selling a Commercial and Industrial Paint Business
The sale of your commercial and industrial paint business is the culmination of this stage of your entrepreneurial journey. Although most business owners expect a storybook ending, it will take the careful application of sound selling principles to bring your sale to a successful conclusion.
You won't find any magic formulas for selling a commercial and industrial paint business, especially while the market is struggling to overcome the perceptions created by a down economy.
There are still plenty of commercial and industrial paint business buyers looking for opportunities that present well in the marketplace.
Timing the Market
Timing is everything when it comes to selling a commercial and industrial paint business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on commercial and industrial paint businesses. When the economy recovers there will be more commercial and industrial paint business buyers on the market, but higher interest rates could present challenges. 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 Skillfully Address Buyer Concerns
Buyers can present challenges, especially during the due diligence stage. The questions commercial and industrial paint business ask during due diligence are designed to alleviate their concerns about the business and should be promptly addressed by the seller. Avoid answering buyer concerns with vague generalities. Instead, be as specific as possible, even if it means doing additional research before offering a response. If due diligence drags on too long, your broker may need to intervene.
Adjusting Expectations
When you made the decision to sell your commercial and industrial paint business, you had a specific set of outcomes in mind. But it's highly unlikely that the sale will meet all of your expectations, especially if your initial estimates were created without the benefit of a solid appraisal or market knowledge. Despite your best efforts, you need to prepare yourself for the possibility of receiving less than you expected from the sale of your commercial and industrial paint business. If price is the most important outcome, you may need to agree to seller financing or other concessions. If a fast sale is the highest priority, you may need to lower the asking price to quickly capture the attention of the marketplace.
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