Tips to Improve Exit Planning
Selling a Jewelry Repair Shop
You've learned a lot during your tenure as a jewelry repair shop owner. Now the trick is to convince cautious buyers that your operation is worth the asking price.
You survived all the ups and downs of owning a business. Next, you'll need to prepare yourself to address the rigors of selling a jewelry repair shop.
Most jewelry repair shops are good business opportunities, a fact that is not going unnoticed by today's discerning buyers.
Timing the Market
Now may be the best time to sell a jewelry repair shop. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on jewelry repair shops. When the economy recovers there will be more jewelry repair shop buyers on the market, but higher interest rates could present challenges. Market conditions can be intimidating. But your larger concern should be whether or not your business is ready to be presented to qualified sale prospects.
Selling a Jewelry Repair Shop 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. Yet most employees lack the means to buy their employer's business at or near the asking price. Seller financing is one way to get around the capital deficit of an employee-based jewelry repair shop sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.
Legal Considerations
It pays to invest in first-rate legal counsel when you sell a jewelry repair shop. Competent legal counsel ensures that the sale documents are in proper order. Furthermore, a good lawyers provides the counsel necessary to navigate the tax and liability issues that surround a business sale. In some cases, an attorney may also provide assistance in securing long-term leases or vendor contracts to make your jewelry repair shop more attractive to buyers. If you don't know an attorney with experience in the business-for-sale market, ask your broker for a referral.
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