Selling a Company Advice
Selling an Utilities Contractors Business
Don't believe anyone who tells you it's easy to sell an utilities contractors 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.
It takes dedication to sell an utilities contractors business under the best of circumstances. In the current market, you'll need to redouble your efforts and get serious about convincing prospects that your company is a good investment.
But they're also savvy enough to know a good deal when they see it. Financial statements and ROI are essential in converting modern utilities contractors business prospects into buyers.
Sale Preparation Timeframes
There are no effective shortcuts for selling an utilities contractors business. For starters, the financials need to demonstrate a track record of profitability and growth. Additionally, prospective buyers usually request documentation that allows them to understand the business's daily workflows and operational strategy. Unless you have already started planning for your utilities contractors business sale, it's going to take at least six months to prepare your business. A more likely scenario is that it will take more than a year to create the conditions necessary to receive the maximum sale price.
Finding Utilities Contractors Business Buyers
It's difficult to predict where the buyer of your utilities contractors business will come from. So you'll need to take a diverse approach to identifying prospective buyers. Although it's helpful to target promotional tactics to likely buyers, allow for some exposure to the broader market. Sellers should also recognize the value of promoting their sale in trusted business networks, carefully balancing the need for confidentiality with the promotional potential of their contact base.
Sale Costs
In an utilities 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. Attorneys, accountants and appraisers work for a flat fee that can range from hundreds to thousands of dollars. Furthermore, your time has value, so you may need to include a personal compensation consideration in your expense estimates.
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