Advice on Niche Market Exit Planning

Selling a Theatrical Managers and Producers Business

We hear from a lot of business owners who are timid about listing their theatrical managers and producers business. Despite the mood of the market, we think there are still opportunities to receive a good price for your theatrical managers and producers business. Here's what you need to know . . .

In a down economy, many theatrical managers and producers business sellers wait to list their businesses until they see signs that the economy has rebounded, making it difficult to accurately evaluate the number of theatrical managers and producers businesses that are actually for sale.

The business-for-sale market is extremely dynamic. Knowledgeable entrepreneurs understand that market timing isn't nearly as important as other factors in a theatrical managers and producers business sale. You just need to know your buyers and structure the deal accordingly.

Seller Financing

Capital is hard to come by these days. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized theatrical managers and producers business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. It's common for sellers to finance as much as 70% of the purchase price with a payoff period of four or five years, sometimes in the form of a balloon payment at the end of the repayment period.

Current Market Conditions

No one plans to sell a theatrical managers and producers business in a down economy. So far, government intervention and promises that the economy is slowly recovering haven't been enough to alleviate many entrepreneur's fears. But when the economy fully rebounds, a shadow inventory of theatrical managers and producers businesses will flood the market and drive prices down even further. Like it or not, the time to sell your theatrical managers and producers business may be right now, as long as your willing to adequately prepare your business for the marketplace.

Working with Appraisers

An experienced appraiser is part and parcel of a successful theatrical managers and producers business sale. Leading industry appraisers equip sellers with a value gauge that can be accessed during negotiations. If you're disappointed with the appraiser's estimate of your company's worth, you have the option of seeking a second opinion. However, it's more often the case that you will need to adjust your expectations of your business's value to buyers.

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