Business Exit Planning
Selling a Music and Recording Industry Business
A lot can go wrong during the sale of a music and recording industry business these days. With little room for error, your business sale has to feature the flawless execution of concepts that are driving today's business-for-sale marketplace.
The decision to sell a music and recording industry business is never easy. In our experience, a common owner concern is how the sale will affect customers and employees.
Success is a factor of preparation, execution and a keen eye for the market. As a business seller, you need to go into the process with the mental goal of presenting your business in the best possible light.
Working with Accountants
Accountants lay the financial groundwork for a business sale. Most music and recording industry business have significant tax consequences requiring the input of a qualified accountant. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.
Preparing Family Members
Many sellers embarked on their music and recording industry business sale without adequately considering the impact it will have on their families. Unfortunately, families often experience turmoil during a sale even when the primary owner is convinced it's the right decision. The sale of the business will likely result in new family dynamics. To keep the family intact, the sale of a music and recording industry business has to include ample communication and shared decision-making.
How to Skillfully Address Buyer Concerns
Buyers can present challenges, especially during the due diligence stage. The questions music and recording industry business ask during due diligence are designed to alleviate their concerns about the business and should be promptly addressed by the seller. Avoid answering buyer concerns with vague generalities. Instead, be as specific as possible, even if it means doing additional research before offering a response. If due diligence drags on too long, your broker may need to intervene.
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