Exit Planning Techniques By Market
Selling a Foam Products Business
Your foam products business is a tangible reminder of the passion and dedication you've invested in your entrepreneurial career. But the hard work isn't done yet. Before you can make a graceful exit, you will have to invest yourself in your business sale.
Business sellers sometimes face a long, hard struggle to get fair market value for their companies. But with the adequate preparation, your foam products business can attract buyers who recognize its potential.
Undaunted by economic conditions, many foam products business sellers are achieving their sale goals through deliberate sale strategies.
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. A limited amount of training and mentoring may seem inconsequential to you, but to a young foam products business owner, they can be critical launching points for their ownership journey.
Post-Sale Details
As your foam products businesssale nears completion, there is a lot of work remaining to be done. There are several details that still need to be addressed. What will the ownership transition look like? Are you prepared to deal with the tax consequences of receiving a significant sum of money in exchange for your business? How will you prepare your employees for your inevitable exit from the business? If there are pending details that still need to ironed out, address them ASAP to ensure a smooth closing and transition.
Current Market Conditions
No one plans to sell a foam products business in a down economy. Entrepreneurs and investors still exhibit healthy skepticism, despite initial indication that recovery has begun. Despite the risks, sellers need to be cognizant of the fact that there is a large volume of foam products businesses waiting to be listed until the economy rebounds. When that happens, the buyers' market will become even stronger and have a negative impact on prices. Like it or not, the time to sell your foam products business may be right now, as long as your willing to adequately prepare your business for the marketplace.
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