Exit Planning Advice By Market
Selling an Art Distributors and Publisher
The sale of an art distribution and publishing business can be a difficult and trying process. But with a few tips, you can keep your shirt and your sanity in the sale of your business.
Waiting for better economic times to sell your company? That's a common anthem in the small business community.
Qualified buyers are constantly looking for attractive art publishing and distribution companies. And the ones that are commanding the highest price tags are the ones with sellers who are committed to the sale process.
Business Valuation
The methods for valuing an art distribution and publishing business vary according to your business model and circumstances. However, there are generally three valuation methods appraisers use to determine your company's worth. Appraisals based on the asset method gauge value as a factor of the company's real property and non-tangible assets; appraisals based on the income method consider the business's anticipated revenue. In many sales, the most accurate valuation comes from the market method which determines value based on the recent sales of similar businesses. All three methods have multiple variations and it's not uncommon for appraisers to use a combination of the three to determine the value of your business. Sellers should take note of the fact that all three valuation methods reward businesses that takes steps to increase assets and income.
Selling Time
Hoping for a quick art distribution and publishing business sale? You may be disappointed. Although asking price and other factors contribute to sale time, it's difficult to predict how long your business will be on the market before you locate the right buyer. Before you can list your art distribution and publishing business, you'll need to invest as much as a year in preparing it for prospective buyers. In a good market, an attractive art distribution and publishing business can sell in as little as a few months, although it can take more than a year to find the right buyer after the business is listed.
Legal Considerations
There is no way around the requirement to hire professional legal assistance when you sell your art distribution and publishing 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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