Smart Exit Planning Strategies for Niche Markets
Selling a Garage Equipment and Accessories Business
Don't believe anyone who tells you it's easy to sell a garage equipment and accessories business. A lot of things need to happen before you can successfully exit your business. But with a few tips, you can keep your shirt and your sanity in the sale of your business.
In any economy, there is a right way and a wrong way to sell a business.
There is no simple way to sell a business. But the most prepared garage equipment and accessories business sellers are achieving fair market value and more for their companies through persistence and the application of sound selling techniques.
Benefits of Third-Party Assistance
Rarely, if ever, do owners sell a garage equipment and accessories business without outside assistance. The enlistment of a qualified business broker is an excellent first step. We also suggest hiring an attorney, an appraiser, and an accountant early in the process. The early recruitment of external resources reduces your risk and results in a more predictable final outcome.
Average Preparation Time
Preparing a garage equipment and accessories business sale takes time. Buyers want to see growth trends, healthy profits and other variables that increase the likelihood of long-term success. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a garage equipment and accessories business can rarely be ready for the marketplace in less than six months. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Selling a Garage Equipment & Accessories Business to an Employee
Employee sales have pros and cons. A faithful employee may have the motivation and ability to continue to operate the business. If you need to sell quickly, the timeframe is condensed in an employee sale because you don't need to track down a buyer. However, some employees feel they are entitled to special treatment and pricing, especially if they have played a key role in the company's success. Most of the time, employees also expect owners to finance a large portion of the sale. So if you aren't willing to finance the sale or need to get top dollar for your garage equipment and accessories business, a sale to an employee is probably not a possibility.
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