Exit Planning Strategies
Selling a Vacuum Cleaning Systems Business
A good business is about more than dollars and sense. To make your vacuum cleaning systems business what it is today, you've had to fully invest yourself in its success. But the hard work isn't done yet. Before you can make a graceful exit, you will have to invest yourself in your business sale.
Intimidated by a sluggish economy, business buyers are more cautious than ever.
Yet what many sellers don't appreciate is that a down economy can present the perfect opportunity to sell a vacuum cleaning systems business.
Sale Costs
The calculation of your asking price should include a buffer to cover the expense of the sale process. Hiring a broker is a mixed bag because although brokers can increase the sale price, they also take a 10% fee. Professional consultations can also represent a significant expense during the course of a vacuum cleaning systems business sale. Likewise, you'll need to consider how much it will cost to promote the sale as well as the lost time it will take for you and your team to navigate the sale process.
Seller Concessions
Seller concessions are becoming more commonplace in business-for-sale transactions. In a down economy sellers become bankers; an unwillingness to finance at least part of the sale of a vacuum cleaning systems business can translate into a dead deal. Capital is scarce, causing new entrepreneurs to rely on sellers to finance at least part of the purchase price. Other common seller concessions include staying on the mentor the new owner, non-compete clauses, and working as a consultant to mitigate the impact of new ownership.
Family Issues
You're ready to sell your vacuum cleaning systems business, but is your family prepared for the transition? Unfortunately, families often experience turmoil during a sale even when the primary owner is convinced it's the right decision. Unless everyone is prepared for it, the sale could have a devastating effect on your family. Subsequently, selling a vacuum cleaning systems business has to include ample communication and shared decision-making.
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