Mastering Niche Market Exit Planning
Selling a Neon Novelties Business
Few entrepreneurs relish the idea of selling a business in a struggling economy. Yet neon novelties businesses continue to be sold at a brisk pace, outperforming the sales of many other types of businesses.
Most business sellers are interested in disposing of their businesses as quickly as possible. But that's not how a neon novelties business sale works.
If you're ready to move on, now is the right time to sell your neon novelties business.
Selling a Neon Novelties Business 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. Most of the time, employees also expect owners to finance a large portion of the sale. So if you aren't willing to finance the sale or need to get top dollar for your neon novelties business, a sale to an employee is probably not a possibility.
Pre-Sale Checklist
There is a lot of work that needs to be done before you're ready to sell your neon novelties business. Perhaps the most important pre-sale consideration is to right-size your expectations to the realities of the market. Once your expectations are in the ballpark, you can move on to making your business presentable to prospective buyers.
Legal Concerns
In a neon novelties business sale, the Letter of Intent contains the vital elements of the deal between the buyer and the seller . If you are seeking buyer concessions, the time to address them is before the Letter of Intent is drafted. For sellers, that makes a close review of the Letter of Intent more than a formality - it's a critical juncture on the path to closing.
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