Selling a Business Advice
Selling an Institutional Food Business
At first glance, an unstable economy would seem to be an unfriendly atmosphere for an institutional food business sale. At Gaebler, we think it's a great time to sell an institutional food business. Here's why . . ..
Business buyers face their own set of frustrations and complications. Although there are plenty of entrepreneurs who want to buy an institutional food business, capital restrictions are holding them back.
But they're also savvy enough to know a good deal when they see it. So for institutional food business sellers, today's market is all about convincing buyers that the numbers make their companies worth the asking price.
Closing Strategies
Today's institutional food business buyers expect sellers to offer concessions to persuade them to close the deal. Concessions can consist of non-cash as well as cash incentives. It's not unusual for sellers to offer non-cash incentives to help inexperienced entrepreneurs get off to a successful start. A limited amount of training and mentoring may seem inconsequential to you, but to a young institutional food business owner, they can be critical launching points for their ownership journey.
Current Market Conditions
No one plans to sell an institutional food business in a down economy. Entrepreneurs and investors still exhibit healthy skepticism, despite initial indication that recovery has begun. 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. The simple truth is that the economy shouldn't dictate whether or not now is the right time to sell an institutional food business. Your individual circumstances and personal goals are more influential factors in determining when it's time to put your business on the market.
The Best Person to Sell Your Institutional Food Business
An unassisted business sale is a double-edged sword. Without a doubt, you have the most at stake in the outcome of your sale. That makes you the most passionate advocate for your institutional food business in the business-for-sale marketplace. However, your close connection to your company can also be a drawback. Nearly all sellers have an inflated sense of their company's value. At a minimum, conduct an independent appraisal of the institutional food business to gain an objective sense of fair market value.
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