Advice on Niche Market Exit Planning
Selling a Transportation Services Business
For the right sellers, the business-for-sale marketplace is a friendly environment for transportation services business opportunities. Although final sales prices vary, the best sales combine strategy and hard work to achieve desired outcomes.
Most business sellers are interested in disposing of their businesses as quickly as possible. But that's not how a transportation services business sale works.
You'll always have an excuse for not putting your business on the market. With hard work and dedication, your transportation services business can be sold at or above fair market value right now.
Sale Preparation Timeframes
It's critical to properly plan for the sale ofa transportation services business. Since buyers prefer to see evidence of future cash flow, you'll want to to strategically lock in cash flows and increase profits before you list the business. Next, the business will need to be documented in professional financial statements and manuals that facilitate the ownership transition. Since all of this takes time and effort, a transportation services business can rarely be ready for the marketplace in less than six months. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Workforce Concerns
As a business owner, you want to keep you employees informed about your plans; as a seller it's in your best interest to keep your employees in the dark for as long as possible. You're concerned about confidentiality, and rightfully so. However, the longer the selling process drags on, the more likely it is that rumors will begin to circulate throughout your workforce. So at some point you will have to resign yourself to the idea of telling some or all of your employees that you have listed the transportation services business on the market. Above all else, it's imperative to encourage your workers to maintain a positive attitude and work ethic. If you're having trouble navigating the employee minefield, consult a business broker for advice.
Handling Unexpected Outcomes
Every business seller dreams of a fast sale and a fat payday. Ultimately, many sellers find that the market is unable to deliver their anticipated outcomes. Surprises are inevitable, so to minimize the disappointment you will need to prioritize the outcomes you require from the sale. If buyers don't seem to be willing to meet your expectations, consult with your broker to modify your strategy and market approach.
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