Business broker Orange County is there either to take over the sale of your business or to give you guidance. You choose what he should do. With that out of the way, let’s take a look at some of the important things you need to do when getting ready to sell your business.
Know what the buyers want
In order to get your business ready to sell and to use the right marketing strategy, it is important that you know what prospective buyers will want to see. There are five main things that buyers look for when considering a business.
Very few buyers want to buy a dying business. This is why business brokers Orange County stress on making your business as profitable as possible before listing it. If yours is a dying business, buyers will use that to their advantage and they will end up buying it for peanuts.
- Competitive edge
The business may be profitable now but will the trend continue? Buyers want to see what makes your products/service better than those of your competitors. Can your commodities be copied easily and legally? How unique your business is will determine whether buyers consider it or not.
- Management structure
Will the business run smoothly without you? Your buyers will want to make sure that you have systematized your business. They want to buy a business that will operate successfully in your absence.
Will your business withstand the trying times in the future? Will it grow? When marketing through a business broker Orange County, you have to show your buyers that your business has a future and great potential for growth.
What is the business culture? Do the employees understand the intangible bases of your business’ success?
Understand the technicalities
Now that you have addressed the point on what buyers will want to see, it is time to take a look at the technicalities. The first thing they will want to look at is the worker classification. Are the key members of your team classified as independent contractors when they are essentially employees? Misclassifying actual employees can lead to significant liability and tax.
Buyers will also want to see the leases, long-term supplier contracts, inefficiencies and taxes. The rule of thumb when getting your business ready to sell is to ensure that there are no technicalities that may discourage buyers from considering your business.
Your financial professional
Last but not least, the kind of financial professional you work with will determine how fast you sell your business. Mostly, business brokers Orange County will independently handle businesses worth between $500,000 and $5 million. You may not be able to get investment bankers on board unless the business is worth more than $5 million.
Getting the business ready to sell is never an easy thing. That is why you must work closely with a business broker Orange County. The broker will hold your hand and ensure you emerge on top.