Exit Planning Techniques By Market
Selling a Fencing Clothing and Equipment Business
Many business leaders say that now isn't the time to try to sell a fencing clothing and equipment business. At Gaebler, we think it's a great time to sell a fencing clothing and equipment business. Here's why . . ..
Personal and professional concerns surround the sale of a fencing clothing and equipment business. But have you considered how your customers, vendors and employees will handle the sale?
Success is a factor of preparation, execution and a keen eye for the market. As a business seller, you need to go into the process with the mental goal of presenting your business in the best possible light.
The Best Person to Sell Your Fencing Clothing & Equipment Business
An unassisted business sale is a double-edged sword. On the one hand, no one knows your business better than you do. When it comes to earnings potential, asset condition, and other considerations, you are the world's leading expert on your company. However, your close connection to your company can also be a drawback. Nearly all sellers have an inflated sense of their company's value. At a minimum, conduct an independent appraisal of the fencing clothing and equipment business to gain an objective sense of fair market value.
Preparing for What's Next
So you've decided to sell your fencing clothing and equipment business. That's great -- but have you considered what's next? Are you moving on to another business venture? Are you retiring? many sellers find themselves ill-equipped to handle life after their business and fail to understand that their future plans can influence the sale process. In today's market, many buyers expect seller financing - a concession that might not be a possibility for sellers whose next step requires the entire proceeds at the time of the sale.
Business Valuation
Professional appraisers can use three methods to determine the value ofa fencing clothing and equipment business: The income method, the asset method and the market method. The income method determines value based on the amount of income the business is expected to generate. The asset method, on the other hand, is based on the value of tangible and non-tangible assets (e.g. brands and trademarks). In many sales, the most accurate valuation comes from the market method which determines value based on the recent sales of similar businesses. A good appraiser will often use multiple valuation methods to arrive at a reasonable estimate. To drive up your sale price, position your fencing clothing and equipment business by improving variables like assets, revenue and profitability during the years leading up to a sale.
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