Exit Planning Advice By Market
Selling an Aerobics Gym
Business-for-sale markets are susceptible to a variety of influences. As you know, the aerobics gym industry has seen more than its share of fluctuations in business values. Here's what you'll need to know to sell an aerobics gym during challenging economic times.
Are most buyers timid about buying an aerobics gym in today's economic environment? You bet.
Most aerobics gyms are good business opportunities, a fact that is not going unnoticed by today's discerning buyers.
Current Market Conditions
No one plans to sell an aerobics gym in a down economy. Although the economy is gaining steam, recovery is slow and entrepreneurs are holding their cards close to their vests. Despite the risks, sellers need to be cognizant of the fact that there is a large volume of aerobics gyms waiting to be listed until the economy rebounds. When that happens, the buyers' market will become even stronger and have a negative impact on prices. Like it or not, the time to sell your aerobics gym may be right now, as long as your willing to adequately prepare your business for the marketplace.
Legal Concerns
A basic understanding of legal requirements is foundational for a successful business sale. Despite the confusion that exists among many sellers, the essentials of the sale are described in the Letter of Intent, a seminal document that is created prior to due diligence . If you are seeking buyer concessions, the time to address them is before the Letter of Intent is drafted. Never sign a Letter of Intent until it has been properly reviewed by your attorney and you are in complete agreement with everything it contains.
How to Skillfully Address Buyer Concerns
Buyers can present challenges, especially during the due diligence stage. It's completely normal for aerobics gym sellers to be asked pointed questions during due diligence. Avoid answering buyer concerns with vague generalities. Instead, be as specific as possible, even if it means doing additional research before offering a response. If due diligence drags on too long, your broker may need to intervene.
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