Exit Planning Advice By Market
Selling an Asphalt Paving Contractors Business
Is the economy still a little shaky for a business sale? Sure it is. Yet asphalt paving contractors businesses haven't been deterred. In fact, we think this economy is a ripe environment for a asphalt paving contractors business sale.
Like it or not, an asphalt paving contractors business sale is a complicated affair, made even more difficult by the emotions associated with leaving a business you've poured your life into. But have you considered how your customers, vendors and employees will handle the sale?
Yet what many sellers don't appreciate is that a down economy can present the perfect opportunity to sell a asphalt paving contractors business.
Sale Costs
In an asphalt paving contractors business sale, pricing is based on a number of factors, including the costs incurred during the sale. Good brokerage takes a 10% success fee off the top of the final sale price. Depending on your circumstances, you may also incur substantial expenses in hiring legal, appraisal and accounting professionals. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
Selling an Asphalt Paving Contractors Business to an Employee
Although it may seem easier to sell your asphalt paving contractors business to an employee, this approach also has some pitfalls. A key employee may seem like a natural sales prospect. If you need to sell quickly, the timeframe is condensed in an employee sale because you don't need to track down a buyer. But in many cases, employees expect to get a deal from their employer based on their years of service to the company. Most of the time, employees also expect owners to finance a large portion of the sale. So if you aren't willing to finance the sale or need to get top dollar for your asphalt paving contractors business, a sale to an employee is probably not a possibility.
Average Timeframes
Hoping for a quick asphalt paving contractors 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 asphalt paving contractors business, you'll need to invest as much as a year in preparing it for prospective buyers. In a good market, an attractive asphalt paving contractors 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.
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