Exit Planning Strategies
Selling a Volunteer Search and Rescue Business
Selling a volunteer search and rescue business doesn't happen overnight. It takes a deliberate process to get top dollar for your company.
Dire economic forecasts have forced many volunteer search and rescue business sellers into hibernation. Instead of listing their companies now, they're hanging back until they see signs of an economic recovery.
However, serious buyers also understand the value of a good volunteer search and rescue business. So for volunteer search and rescue business sellers, today's market is all about convincing buyers that the numbers make their companies worth the asking price.
Seller Concessions
In the current marketplace, seller concessions can make the difference between a business sale and a volunteer search and rescue business that languishes on the market for months or even years. By far, seller financing is the most sought-after concession, especially in the current economic environment. Capital is scarce, causing new entrepreneurs to rely on sellers to finance at least part of the purchase price. As an alternative, clearly state that seller financing is not an option and consider offering other concessions to see the sale through to its completion.
Average Preparation Time
Preparing a volunteer search and rescue business sale takes time. 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 volunteer search and rescue 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.
Legal Considerations
It's obvious that you're going to need to hire an attorney to finalize the sale of your volunteer search and rescue business. Tackling the legal nuances and tax ramifications of a sale without a first-rate business lawyer is an invitation for disaster. We recommend hiring an attorney early in the process to gain insights about the legal consequences of various sale outcomes.
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