Profitable Niche Market Exit Plans
Selling an Occupational and Industrial Health and Safety Business
Don't believe anyone who tells you it's easy to sell an occupational and industrial health and safety business. A lot of things need to happen before you can successfully exit your business. But with a few tips, you can keep your shirt and your sanity in the sale of your business.
If you listen to many entrepreneurs, there never seems to be a good time to put a small business on the market.
Too often occupational and industrial health and safety business owners fail to receive fair market value for their businesses. With the right strategy, your sale doesn't have to end that way.
When Is the Right Time to Sell?
When is it the right time to sell your occupational and industrial health and safety business? If you're asking the question, now may be the time to put your business on the market. Opinions are mixed and some consultants are advising occupational and industrial health and safety business sellers to put their plans on hold until the economy fully rebounds. We aren't nearly as pessimistic about the occupational and industrial health and safety business marketplace. The inventory of what we consider to be quality occupational and industrial health and safety businesses is actually low right now and there is room for the right sellers to realize substantial gains with investment-conscious buyers.
Working with Accountants
Accountants lay the financial groundwork for a business sale. From a seller perspective, an accountant can offer personal financial assistance, especially when it comes to handling the disposition of sale proceeds. Brokers often advise their clients to have an accountant perform an audit of the business prior to sale. With seller financing becoming common, professional accountants are playing a more central role in negotiations and buyer qualification.
When to End Negotiations
Negotiations have a way of dragging on forever. There are countless details that need to be hammered out before a Letter of Intent can be prepared and the process can move on to the due diligence stage. As the seller, you'll be on the front lines of negotiation and will need to know when it's time to bring negotiations to an end. A lull in negotiations may be part of the buyer's strategy. Then again, it may be a sign that the search for common ground is a lost cause. If you are adequately prepared, you'll know what your bottom line is -- and if the buyer is unwilling to meet your bottom line requirements or if negotiations are stalled, it's time to step back from the negotiating table and re-evaluate your options.
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