When you want to sell your business, the first thing you should do is run the decision by an experienced business broker San Diego. The broker has sold many businesses like yours and will help you determine if selling now is the best decision or not. The broker will also verify if you are selling for the right reasons. Once the decision to sell is approved, here are a couple of things you should do.
Get yourself from operations
The first thing business brokers San Diego will recommend you do is to take yourself from daily operations. If you make most of the major decisions and the success of the business is tied to you, it will be hard to sell it. Buyers are interested in businesses they can take over and succeed. As you get ready to sell, the first thing you should do is to train a team to take over your responsibilities. Making sure your processes and systems are well documented will also come in handy. The idea is to prove to potential buyers that your business can thrive in your absence.
Be clear on what you will be selling
You exit strategy should be clear on what you will be selling. Deciding on what to sell and what to keep is something you must do early. This will help with business valuation and also eliminate the risk of losing a buyer when you state that you are not selling an item the buyer is most interested in.
Get a business valuation
Getting an independent business valuation is a must. This is the only way you will be able to know how much your business is worth and how much you can actually get for it. An experienced business broker San Diego will help with both business valuation and pricing. The best thing is that some of the best brokerage firms will not charge you for business valuation.
Fix your business flaws
Fixing as many flaws in your business as possible will make it easier for you to sell it. This is because buyers are interested in business with less baggage. Start by paying off debts, resolving legal issues and fixing your premise. The idea is to give buyers the best first impression and to ensure they have as few points to use against you during negotiations as possible.
Think of offering incentives to buyers
Last but not least, if you want to sell your business super-fast you must consider offering some incentives. The incentive can be staying on for a couple of months to help the new owner understand the ins and outs of the business or offering seller financing. Your business brokers San Diego will help pick the best incentive.
While hiring an experienced business broker Orange County is the first thing you should do when getting ready to sell, there is a lot more that you will have to do. In this post we will be taking a look at the important things you have to do when selling a business this year. This quick guide will not only help you sell fast but for the best price.
Get third-party valuation
For you to sell your business for the best price you first need to know how much it is really worth. While performing your own valuation is okay, it is better to get a third-party business valuation. Such a valuation will be unbiased. Business brokers Orange County have a lot of experience selling businesses like yours and will be in a better position to give you a more detailed business valuation report. The best news is that the best brokers will offer a free valuation.
Get your business in order
To be able to sell fast and for the right price it is imperative that you address any issue that your business has. This should include paying off debts, resolving legal issues, training a management team to take over your responsibilities, tackling repairs and so on. Your Orange County business broker will be able to point you in the right direction after a business valuation. This is for the simple fact that business valuations help identify the strengths and weaknesses of a business. The broker can help you know what you need to fix. What is more is that a broker knows what buyers will be looking for in a business like yours and will thus be able to help you get your business ready for sale sufficiently.
Draw up confidentiality agreement
The sale needs to be kept a secret all through. This is why you should draw up confidentiality agreements. Your legal advisor will help with this part. The idea is to require everyone that is interested in buying your business to sign the NDA. While your business broker Orange County will prequalify potential buyers, you need to ensure that you add an extra layer of protection. This is done by requiring buyers to sign NDAs.
Be clear on what you are selling
Last but not least you have to be clear on what you will be selling. The last thing you want is to win a buyer over only to lose them because you are not selling what drew them to your business. Being clear on what you are selling will also help with business valuation.