Exit Planning Advice
Selling a Knitting Machines and Supplies Business
No one said selling your business in a depressed economy would be easy. Fortunately, a knitting machines and supplies business sale isn't as scary as it seems.
You need to get a good price for your knitting machines and supplies business. To get there, you'll need to set realistic expectations and follow a deliberate selling strategy.
If you're ready to move on, now is the right time to sell your knitting machines and supplies business.
Working with Accountants
Accountants come into play at several stages of the sale process. 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.
Tips for Seller Financing
The shortage in today's marketplace isn't interested buyers -- it's capital. Thanks to more stringent commercial lending requirements, sellers have become de facto lenders, providing the financing buyers need to get their feet in the door. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Average Preparation Time
There are no effective shortcuts for selling a knitting machines and supplies business. Since buyers prefer to see evidence of future cash flow, you'll want to to strategically lock in cash flows and increase profits before you list the business. You'll also need to create financial reports, operations manuals, and other documents to create the perception of a turnkey knitting machines and supplies business operation. Unless you have already started planning for your knitting machines and supplies business sale, it's going to take at least six months to prepare your business. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
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