Niche Exit Planning Strategies
Selling a Dance Club
You've heard the naysayers - now isn't the time to sell a dance club. But what they don't know is that many entrepreneurs see dance clubs as a smart business investment.
We're seeing a high volume of shadow inventory in the business-for-sale market.
Many business owners don't know that dance clubs are still a hot commodity, to the extent that sellers have properly prepared them for the marketplace.
Sweetening the Deal
Seller concessions sweeten the deal for buyers and are a necessary fixture in a sluggish economy. Concessions can consist of non-cash as well as cash incentives. When you've reached your limit on price, consider offering non-cash concessions to encourage a commitment from the buyer. If you aren't familiar with typical dance club concessions, consult with a professional to learn how you can build incentives into your deal.
Sale Preparations for Your Dance Club
The outcome of a business sale is largely determined prior to a market listing. Profitable dance club sales begin with a comprehensive strategy that incorporates planning, preparation and market positioning. Branding, market positioning, and revenue growth take time, but they directly influence the price your dance club will command in the marketplace. It is especially helpful if your financial reports can demonstrate a multiyear growth trend for potential buyers.
Benefits of Third-Party Assistance
Rarely, if ever, do owners sell a dance club without outside assistance. Brokers can be an important resource for your sale, especially if you are unfamiliar with the business-for-sale marketplace. Additionally, you may want to hire professionals for legal, valuation and other functions before you put your business on the market. The benefit of soliciting outside assistance early is that seemingly small decisions now can have big consequences later. By consulting professionals throughout the sale of your dance club, you can avoid painful tax and legal complications both before and after closing.
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