Mastering Niche Market Exit Planning
Selling a Nonprofit Employment Services Business
Many business leaders say that now isn't the time to try to sell a nonprofit employment services business. But in reality, now may be the perfect time to sell a nonprofit employment services business.
Business-for-sale markets are less dependent on economic conditions than most sellers think they are.
Many business owners don't know that nonprofit employment services businesses are still a hot commodity, to the extent that sellers have properly prepared them for the marketplace.
Legal Considerations
It's obvious that you're going to need to hire an attorney to finalize the sale of your nonprofit employment services business. 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. We recommend hiring an attorney early in the process to gain insights about the legal consequences of various sale outcomes.
Sale Preparations for Your Nonprofit Employment Services Business
The outcome of a business sale is largely determined prior to a market listing. Attractive nonprofit employment services business sales begin with a comprehensive strategy that incorporates planning, preparation and market positioning. Branding, market positioning, and revenue growth take time, but they directly influence the price your nonprofit employment services business will command in the marketplace. But your efforts to improve your company's position and profitability will only be effective if you invest similar effort into the preparation of accurate financial statements for buyers.
Selling a Nonprofit Employment Services 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. However, some employees feel they are entitled to special treatment and pricing, especially if they have played a key role in the company's success. Seller financing is one way to get around the capital deficit of an employee-based nonprofit employment services business sale, as long as you are willing to vet the employee's credit worthiness the same as any other buyer.
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