Exit Planning Tips
Selling a Hose and Tubing Business
It's a misconception that no one is buying hose and tubing businesses these days. Savvy entrepreneurs see hose and tubing business opportunities as a path to short-term profits and long-term growth. There aren't any guarantees, but if you adhere to fundamental business sale concepts, you can likely get a good price for your business.
The buzz in the marketplace is that now isn't the right time to sell a hose and tubing business. Consequently, sellers are holding their businesses off the market until they are sure the market will sustain their asking prices.
Armed with a deliberate selling strategy, sellers of hose and tubing businesses are finding qualified buyers, even in today's tough market.
Preparing Your Employees
As a business owner, you want to keep you employees informed about your plans; as a seller it's in your best interest to keep your employees in the dark for as long as possible. You're concerned about confidentiality, and rightfully so. If you keep your employees out of the loop too long, it's inevitable that misinformation will filter throughout your workplace. So at some point you will have to resign yourself to the idea of telling some or all of your employees that you have listed the hose and tubing business on the market. Your employees will undoubtedly have many questions about their future with the company. Try to answer their questions to the best of your ability, but avoid making any promises that you are not authorized to make.
Working with Accountants
Accountants lay the financial groundwork for a business sale. From a seller perspective, an accountant can offer personal financial assistance, especially when it comes to handling the disposition of sale proceeds. You may also want your accountant to assist in the preparation of professional financials to present to serious buyers. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.
Preparing Your Hose & Tubing Business for Sale
The outcome of a business sale is largely determined prior to a market listing. Profitable hose and tubing business sales begin with a comprehensive strategy that incorporates planning, preparation and market positioning. Branding, market positioning, and revenue growth take time, but they directly influence the price your hose and tubing business will command in the marketplace. It is especially helpful if your financial reports can demonstrate a multiyear growth trend for potential buyers.
Share this article
Additional Resources for Entrepreneurs