Exit Planning Techniques By Market
Selling a Food Banks Business
Most businesses are susceptible to economic conditions and food banks businesses are no exception. But in some cases, a down economy can actually improve saleability. All it takes is a strategy to identify solid prospects and convert them to buyers.
You won't find any magic formulas for selling a food banks business, especially while the market is struggling to overcome the perceptions created by a down economy.
At Gaebler, we think waiting for the economy to rebound is a mistake for many business owners. Selling a food banks business isn't easy, but we believe sellers can achieve their goals in any economic environment.
Selling to a Family Member
The idea of passing a business along to a family member sounds idyllic to many business owners. in reality, a family-based food banks business sale can be more complicated than selling to a stranger. Often, a sale to a family member creates fractures within the family. If you refuse to discount the sales price or offer other concessions, it could create a rift with the buyer. But if you give in to the buyer's demands, you risk alienating family members who may feel the buyer is receiving an early inheritance. Although it may seem odd, a sale to a family member can take longer than a sale to a stranger because it may take time to work through family issues prior to closing.
Broker vs. No Broker
When selling a food banks business, you have two choices: Hire a broker to facilitate the sale or perform the sale unassisted. Is there a cost associated with hiring a broker? Sure - about 10% of the final sale prices. But a good broker will make selling your food banks business much less painful. You can also expect to receive a higher sales price for your business in a broker-assisted deal.
What to Expect in a Food Banks Business Sale
Prepare yourself to feel a broad range of emotions when you sell a food banks business. From hopefulness to remorse, it's all part of exiting of your company. Given your personal investment, you may also experience disappointment in the market's assessment of your company's value. Although it isn't easy, you can mitigate the emotional impact of a food banks business sale by setting realistic expectations before you list your business.
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