Optimizing Business Exits
Selling a Rubber Brokers Business
Over the past few years, the rubber brokers business market has been exceptionally volatile. Many sellers have exited their companies under less-than-ideal circumstances. Yet it's still possible to achieve personal and professional goals when selling a rubber brokers business during challenging economic times.
Personal and professional concerns surround the sale of a rubber brokers business. But have you considered how your customers, vendors and employees will handle the sale?
A business sale is always a sophisticated transaction and if you aren't prepared for it, your rubber brokers business sale could have an unexpected outcome. To stay on course, you'll need sound strategy and meticulous execution on your side.
Buyer Concessions
In a tight economy, seller concessions are the name of the game. But that doesn't mean you can't push for buyer concessions to achieve a more favorable outcome in the sale of your rubber brokers business. Often, buyer concessions represent financial incentives that the seller receives in exchange for providing a non-cash benefit (e.g. training, financing, etc.. Asset exclusions, retained ownership shares and long-term contracts with another of the seller's companies can also be leveraged to extract concessions from buyers.
Brokerage Benefits
A good broker can offer several benefits to business sellers. First-rate brokers are extremely skilled at communicating your company's strengths to prospective buyers. More importantly, brokers have the ability to identify serious buyers and maintain confidentiality throughout the sale process. Typical brokerage rates (a.k.a. success fees) run 10% of the final price - an expense that is usually recouped through a higher sales price and less time on the market.
How to Identify Prospective Buyers
Whether you know it or not, prospective buyers for your rubber brokers business are all around you. In fact, there is a good chance you already know several individuals or companies that might be interested in buying your business for a decent price. We frequently see qualified buyers emerge from the seller's network of business and personal acquaintances. In other cases, sellers take a proactive approach to finding likely buyers and contacting them directly. If you aren't generating interest in the general marketplace, consider approaching companies that sell complementary products or are closely situated in your supply chain.
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