Optimizing Business Exits
Selling a Racing Engines Business
Is the economy still a little shaky for a business sale? Sure it is. Yet racing engines businesses haven't heard the news and are reporting steady action on the business-for-sale market.
The buzz in the marketplace is that now isn't the right time to sell a racing engines business. Consequently, sellers are holding their businesses off the market until they are sure the market will sustain their asking prices.
You'll always have an excuse for not putting your business on the market. With hard work and dedication, your racing engines business can be sold at or above fair market value right now.
Selecting a Broker
Good business brokers inevitably produce better business sales. During the selection process, look for brokers with a proven track record of successful racing engines business sales. Take our word for it -- racing engines businesses are unique businesses and you need a broker who understands how to properly market your racing engines business to prospective buyers. The best brokers should also come with a list of references, a demonstrable track record and a proven plan for selling racing engines businesses.
Pre-Sale Checklist
There is a lot of work that needs to be done before you're ready to sell your racing engines business. Perhaps the most important pre-sale consideration is to right-size your expectations to the realities of the market. Armed with a realistic timeframe and asking price, you can begin to consult with your broker about the best way to approach likely buyers.
Turning the Tables: Buyer Concessions
Most racing engines business sellers realize they will need to offer concessions to sell their businesses. But for every concession you grant, there may be an opportunity to obtain a concession from the buyer. Although this scenario frequently plays out around seller financed deals, it's possible to push for a higher sales price or other form of compensation if you agree to mentor the buyer for a specified period of time. You can also choose to exclude certain items like equipment or inventory from the deal if the buyer isn't willing to meet your price expectations. By selling excluded assets on the secondary market, you can compensate for an anemic sale price.
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