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Selling a Copper and Copper Products Business
It's a misconception that no one is buying copper and copper products businesses these days. Savvy entrepreneurs see copper and copper products business opportunities as a path to short-term profits and long-term growth. Here's what you need to know to get a fair price for your company.
The decision to sell a copper and copper products business is never easy. In our experience, a common owner concern is how the sale will affect customers and employees.
Too often copper and copper products business owners sell for a price that is well below market value. That's unfortunate because all it takes to get a fair price in today's market is ample planning and an awareness of what's important to buyers.
Timing the Market
Now may be the best time to sell a copper and copper products business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on copper and copper products 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.
Signs You're in Over Your Head
Many copper and copper products business are tempted to save brokerage fees by selling their businesses on their own. But for every successful unassisted sale, several other copper and copper products businesses sell below market value or languish on the market for years without attracting the interest of qualified buyers. As a rule, no business should sit on the market for more than six months without attracting the interest of at least a handful of qualified buyers. Likewise, if buyers seem to express interest but quickly exit when you quote the asking price, it's a sign that your copper and copper products business is priced out of the market. The remedy is professional brokerage or a consultation with more experienced sellers.
Leveraging Seller Concessions
Seller concessions are becoming more commonplace in business-for-sale transactions. In a down economy sellers become bankers; an unwillingness to finance at least part of the sale of a copper and copper products business can translate into a dead deal. Capital is scarce, causing new entrepreneurs to rely on sellers to finance at least part of the purchase price. As an alternative, clearly state that seller financing is not an option and consider offering other concessions to see the sale through to its completion.
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