Business Exit Planning
Selling a Manufacturing Production Business
Despite the pessimistic mood of many sellers, your manufacturing production business can be a high value acquisition target for ambitious entrepreneurs -- even in today's tough economy.
Personal and professional concerns surround the sale of a manufacturing production business. In addition to the personal enjoyment you received from the business, you probably have concerns about what will happen to the people who made your manufacturing production business a success.
Fortunately for sellers, forward-thinking entrepreneurs continue to be attracted to manufacturing production businesses that exhibit strong financials and potential for future growth.
Handling Unexpected Outcomes
When you made the decision to sell your manufacturing production business, you had a specific set of outcomes in mind. But it's highly unlikely that the sale will meet all of your expectations, especially if your initial estimates were created without the benefit of a solid appraisal or market knowledge. Despite your best efforts, you need to prepare yourself for the possibility of receiving less than you expected from the sale of your manufacturing production business. If buyers don't seem to be willing to meet your expectations, consult with your broker to modify your strategy and market approach.
How to Skillfully Address Buyer Concerns
It's a common scenario: in an effort to perform a thorough due diligence process, buyers flood manufacturing production business sellers with questions and requests, often to the point of becoming a nuisance. It's completely normal for manufacturing production business sellers to be asked pointed questions during due diligence. Avoid answering buyer concerns with vague generalities. Instead, be as specific as possible, even if it means doing additional research before offering a response. Refer to the Letter of Intent to determine how to wrap up due diligence and move the buyer on to closing.
Promoting a manufacturing production business Sale
Successful manufacturing production business sales incorporate comprehensive advertising plans. But if you think advertising your manufacturing production business will be the same as running a product promotion, think again. Multiple factors complicate business-for-sale advertising, not the least of which is the fact that you don't want your competition to know that your company is on the market. If sale information leaks out, competitors can use it to steal customers and circulate negative messages about your business throughout the industry. Business brokers are skilled at publicizing manufacturing production business sales while maintaining the confidentiality that is critical to your business.
Share this article
Additional Resources for Entrepreneurs