Sell a Business for the Best Price
Selling a Plastic Forming Business
With the economy struggling to rebound, the shadow inventory of plastic forming businesses in the business-for-sale marketplace seems to be rising. That could make this the perfect time to list a successful plastic forming business
The plastic forming business-for-sale marketplace is a nuanced environment, full of pitfalls for sellers who aren't prepared for its demands.
To sell a plastic forming business these days, business sellers may need to apply a combination of incentives and techniques.
When the Sale Goes Off-Course
It's not uncommon for the owners of small plastic forming businesses to adopt a go-it-alone sale strategy. Plenty of owners sell their plastic forming businesses unassisted. Although there are exceptions, solo sales typically take longer and are less productive than brokered sales. Generally, listed businesses should generate interest within a few months. When buyers fail to exhibit substantive interest, it could indicate unrealistic pricing or an inferior selling strategy. The remedy is professional brokerage or a consultation with more experienced sellers.
Average Timeframes
It's rarely possible to sell a plastic forming business in a month or two. Although asking price and other factors contribute to sale time, it's difficult to predict how long your business will be on the market before you locate the right buyer. To adequately prepare your business listing, plan on spending six months to a year prior to listing. Even though it's conceivable that an attractive opportunity could sell in weeks, an immediate flood of offers could indicate that the business is underpriced.
Seller Financing
Capital is hard to come by these days. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized plastic forming business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
Share this article
Additional Resources for Entrepreneurs