Smart Exit Planning Strategies for Niche Markets
Selling a Glass Coating and Tinting Materials Wholesale and Manufacturers Business
We hear from a lot of business owners who are timid about listing their glass coating and tinting materials wholesale and manufacturers business. Despite the mood of the market, we think there are still opportunities to receive a good price for your glass coating and tinting materials wholesale and manufacturers business. Here's what you need to know . . .
Business buyers are a timid lot, even more so now that they are facing an uncertain economic landscape.
To sell a glass coating and tinting materials wholesale and manufacturers business in this environment, business sellers may need to apply a combination of incentives and techniques.
Valuation Methods
Multiple valuation methods exist for a glass coating and tinting materials wholesale and manufacturers business. While the income method uses anticipated revenues as a value basis, the asset method focuses on the company's capital, real estate and intellectual assets. 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. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
How to Identify Prospective Buyers
Still looking for prospective buyers for your business? You probably already know several parties with an interest in acquiring your company. We frequently see qualified buyers emerge from the seller's network of business and personal acquaintances. In other cases, sellers take a proactive approach to finding likely buyers and contacting them directly. Competitors may seem like natural prospects and they are. The downside is that they won't pay top dollar and will probably absorb your company into their own.
Sale Costs
The calculation of your asking price should include a buffer to cover the expense of the sale process. Although they can significantly increase the final sale price, brokers typically receive a 10% commission. Professional consultations can also represent a significant expense during the course of a glass coating and tinting materials wholesale and manufacturers business sale. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
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