How to Sell a Niche Market Business
Selling an Entertainment and Sports Law Attorneys Business
A good business is about more than dollars and sense. To make your entertainment and sports law attorneys business what it is today, you've had to fully invest yourself in its success. But the hard work isn't done yet. Before you can make a graceful exit, you will have to invest yourself in your business sale.
We're seeing a high volume of shadow inventory in the business-for-sale market.
But sooner or later, all good things must come to an end. When that happens, your future plans will be dependent on your ability to receive the highest possible sale price for your entertainment and sports law attorneys business.
Valuation Methods
Professional appraisers can use three methods to determine the value ofan entertainment and sports law attorneys business: The income method, the asset method and the market method. 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. A good appraiser will often use multiple valuation methods to arrive at a reasonable estimate. But regardless of the method that is used, it's always in the seller's best interest to increase revenue and asset values prior to a sale.
Legal Considerations
It's obvious that you're going to need to hire an attorney to finalize the sale of your entertainment and sports law attorneys business. A good lawyer serves a variety of functions during the process. In addition to reviewing the letter of intent, sales contract, and other documents, your attorney should be capable of advising you about due diligence and the tax consequences of the sale. In some cases, an attorney may also provide assistance in securing long-term leases or vendor contracts to make your entertainment and sports law attorneys business more attractive to buyers. If you don't know an attorney with experience in the business-for-sale market, ask your broker for a referral.
What About Market Conditions?
No one plans to sell an entertainment and sports law attorneys business in a down economy. So far, government intervention and promises that the economy is slowly recovering haven't been enough to alleviate many entrepreneur's fears. However, many business sellers don't realize that a full economic rebound can have devastating consequences, particularly if sellers who have waited to list their businesses suddenly create a glut in the business-for-sale marketplace. So what's our point? The economy isn't the most important factor in the sale of your business. Instead, you should be focusing on making your entertainment and sports law attorneys business as attractive as possible so to buyers right now.
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