Smart Exit Planning Strategies for Niche Markets
Selling a Golf Guides Business
There are no guarantees when you sell a golf guides business. But our tips will equip you with the information you need to increase the likelihood of a successful sales outcome.
The golf guides business-for-sale marketplace is a nuanced environment, full of pitfalls for sellers who aren't prepared for its demands.
At Gaebler, we think that's a mistake because with adequate preparation and the right sale strategy, this might be the best time to put your golf guides business on the market.
Timing the Market
Worried about timing? Believe it or not, this could be an advantageous time to put a golf guides business up for sale. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on golf guides businesses. As the interest rates rise, it will be more difficult for buyers to make the numbers work in their favor. 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.
Leveraging Industry Connections
These days, golf guides business buyers are an extremely diverse group with backgrounds in and outside of the industry. To advertise your sale to the widest possible audience, consider a listing on BizBuySell.com or other top online business-for-sale listing sites. For more targeted lead generation, consider tapping into your network of industry contacts. When leveraging industry relationships for sales prospects, you'll need to be cognizant of the potential for competitors to use knowledge of your sale against you in the marketplace. Your broker may be able to offer strategies for promoting your sale within your network while maintaining some remnant of a confidential sale.
Business Valuation
Professional appraisers can use three methods to determine the value ofa golf guides business: The income method, the asset method and the market method. 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. All three methods have multiple variations and it's not uncommon for appraisers to use a combination of the three to determine the value of your business. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
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