Exit Planning Techniques By Market
Selling a Franchise Consultants Business
Despite the pessimistic mood of many sellers, your franchise consultants business can be a high value acquisition target for ambitious entrepreneurs -- even in today's tough economy.
You won't find any magic formulas for selling a franchise consultants business, especially while the market is struggling to overcome the perceptions created by a down economy.
There is no simple way to sell a business. But the most prepared franchise consultants business sellers are achieving fair market value and more for their companies through persistence and the application of sound selling techniques.
When the Sale Goes Off-Course
Many franchise consultants business are tempted to save brokerage fees by selling their businesses on their own. Although there are exceptions, solo sales typically take longer and are less productive than brokered sales. 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. Lack of buyer enthusiasm or persistence indicates that something is wrong. The remedy is professional brokerage or a consultation with more experienced sellers.
Timing the Market
Timing is everything when it comes to selling a franchise consultants business. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on franchise consultants businesses. Sooner or later, rates will rise, increasing the risk for prospective buyers of franchise consultants businesses. 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.
Sweetening the Deal
Today's franchise consultants business buyers expect sellers to offer concessions to persuade them to close the deal. 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 franchise consultants business owner, they can be critical launching points for their ownership journey.
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