Niche Exit Planning Tactics
Selling a Water Well Pumps Sales and Service Business
The decision to sell your water well pumps sales and service business isn't something that should be taken lightly, especially these days. If a business exit is on the horizon, you'll want to check out our suggestions for staying ahead of the market.
Although we're optimistic about the economy, we also recognize that it takes the right strategy to sell a water well pumps sales and service business in today's market.
If your exit strategy involves selling a water well pumps sales and service business now, sellers need to make a strong case for buyers to purchase at or near the asking price.
Finding Prospects
Whether you know it or not, prospective buyers for your water well pumps sales and service business are all around you. In fact, there is a good chance you already know several individuals or companies that might be interested in buying your business for a decent price. We frequently see qualified buyers emerge from the seller's network of business and personal acquaintances. In other cases, sellers take a proactive approach to finding likely buyers and contacting them directly. If you aren't generating interest in the general marketplace, consider approaching companies that sell complementary products or are closely situated in your supply chain.
Seller Financing
Business buyers are in a capital crunch. Banks and other lending institutions aren't eager to lend to unproven and undercapitalized water well pumps sales and service business buyers regardless of the business's potential. Rather than abandon their plans entirely, many buyers are pursuing finance concessions from sellers. Although 100% seller financing isn't recommended, sellers are financing up to 70% of the sale price to close deals.
After the Sale
As your water well pumps sales and service businesssale nears completion, there is a lot of work remaining to be done. The transition to the new owner, the distribution of sale proceeds and other issues can weigh heavily on sellers. You, your employees and the buyer all have a stake in making sure the sale ends as smoothly as possible. If possible, work with the buyer to create a transition strategy that minimizes the impact on the business and your workforce.
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