Exit Planning Strategies
Selling a Van Dealership
You've learned a lot during your tenure as a van dealership owner. The next step is to position your business for the demands of the business-for-sale marketplace.
The economy isn't the only thing that is uncertain these days. So are van dealership buyers, many of whom are waiting to pull the trigger on their next acquisition.
Yet what many sellers don't appreciate is that a down economy can present the perfect opportunity to sell a van dealership.
Selling to a Family Member
The idea of passing a business along to a family member sounds idyllic to many business owners. in reality, a family-based van dealership sale can be more complicated than selling to a stranger. Often, a sale to a family member creates fractures within the family. Whether you offer the family member special concessions or not, either the buyer or other family members may take offense. Although it may seem odd, a sale to a family member can take longer than a sale to a stranger because it may take time to work through family issues prior to closing.
Advantages of Hiring a Broker
There are many reasons why hiring a broker makes sense in van dealership sales. Right out of the gate, brokers know how to help their clients properly prepare their businesses for a sale. Even more, the best brokers have a track of record of discreetly identifying likely buyers and contacting them on your behalf. Although you will pay a fee for brokerage, it's generally worth it because the end result will be a higher sales prices and more favorable terms.
Timing the Market
Now may be the best time to sell a van dealership. A depressed economy means lower interest rates; lower interest rates increase the number of investors willing to take a chance on van dealerships. As the interest rates rise, it will be more difficult for buyers to make the numbers work in their favor. So we see market timing as a concern that can be easily mitigated by applying fundamental sales strategies and adequately preparing your company for buyers.
Share this article
Additional Resources for Entrepreneurs