Optimizing Business Exits
Selling a Refrigeration Dealers Business
Maybe you're counting on your refrigeration dealers business to be a stepping stone to your next big business venture. Maybe it's your retirement fund. Either way, you need to maximize the price it gets in the business-for-sale marketplace.
Dire economic forecasts have forced many refrigeration dealers business sellers into hibernation. Instead of listing their companies now, they're hanging back until they see signs of an economic recovery.
The business-for-sale market is extremely dynamic. Knowledgeable entrepreneurs understand that market timing isn't nearly as important as other factors in a refrigeration dealers business sale. The key is to go into the sale with your eyes open and with complete awareness of market condition.
Should I Hire a Business Broker?
When selling a refrigeration dealers business, you have two choices: Hire a broker to facilitate the sale or perform the sale unassisted. Is there a cost associated with hiring a broker? Sure - about 10% of the final sale prices. But a good broker will make selling your refrigeration dealers business much less painful. You can also expect to receive a higher sales price for your business in a broker-assisted deal.
Average Timeframes
Hoping for a quick refrigeration dealers business sale? You may be disappointed. 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. Before you can list your refrigeration dealers business, you'll need to invest as much as a year in preparing it for prospective buyers. 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.
How to Skillfully Address Buyer Concerns
It's a common scenario: in an effort to perform a thorough due diligence process, buyers flood refrigeration dealers business sellers with questions and requests, often to the point of becoming a nuisance. Due diligence preparation can mitigate the irritation factor, but you should still expect to field numerous buyer concerns before closing. Avoid answering buyer concerns with vague generalities. Instead, be as specific as possible, even if it means doing additional research before offering a response. However, at some point due diligence has to end and the sale must proceed to closing. Consult with your broker to determine when it's time to draw the line and push the buyer toward a final commitment.
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