Advice on Niche Market Exit Planning
Selling a Textile Machinery and Parts Business
There are no guarantees when you sell a textile machinery and parts business. But our tips will equip you with the information you need to increase the likelihood of a successful sales outcome.
Economic data is scary stuff for small business owners. But quarterly data dumps don't impact textile machinery and parts business sales nearly as much as sale strategy.
Too often textile machinery and parts business sellers cave under the pressure and settle for a lower sales price than they should. With the right strategy, your sale doesn't have to end that way.
Buyer Concessions
Sellers aren't the only ones who can make concessions in a business sale. In many instances, sellers can request buyer concessions. 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. 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.
Average Timeframes
It's rarely possible to sell a textile machinery and parts 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. Before you can list your textile machinery and parts 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.
Leveraging Industry Connections
These days, textile machinery and parts business buyers are an extremely diverse group with backgrounds in and outside of the industry. To advertise your sale to the widest possible audience, consider a listing on BizBuySell.com or other top online business-for-sale listing sites. For more targeted lead generation, consider tapping into your network of industry contacts. When leveraging industry relationships for sales prospects, you'll need to be cognizant of the potential for competitors to use knowledge of your sale against you in the marketplace. Your broker may be able to offer strategies for promoting your sale within your network while maintaining some remnant of a confidential sale.
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