When it is time to sell manufacturing business there are three very important things you need to do in order to get maximum value for it. At So-Cal Business Brokers we have sold many manufacturing businesses and we know what buyers are searching for. We also have buyers in our contacts who might be interested in buying your business. in our experience, for you to sell for maximum profit there are three very important things you need to do.
Know the worth of your business
You cannot set a selling price if you don’t know how much your business is really worth. The value of your business is correlative to the individual business, market and what potential buyers are willing to pay. This is why when you come to us to sell manufacturing business we don’t just rely on textbook calculations to determine the value of your business. Our team will consider the current market climate, interest rates as well as how much a similar business sold for in the recent past.
There are other factors we consider such as the quality of the products you manufacture. If your products have a great reputation then your business will be more attractive to buyers than other businesses. Here are some of the questions we will ask when determining the worth of your business:
- What are your sales?
- What are your profits?
- What is the growth trend of your business?
- What drives new sales and are they sustainable?
- What is your business’ position in the market?
- Do you have a favorable position?
- What systems and processes do you have in place to run your business?
- What channels do new customers come in through?
Know what makes your business more valuable
Knowing what makes your business more valuable will help win potential buyers easier. Our business valuation report will reveal your strengths and weaknesses. We will also reveal opportunities you can explore before you sell. This information can help improve your business before listing it.
Know reason for selling
Last but not least you must have a good reason to sell manufacturing business. Buyers don’t want to purchase a sinking ship. If your reason for selling is because business has not been good of late, chances are you will end up selling at a loss. Our team at So-Cal Business Brokers can evaluate your options and ensure you are selling for the right reasons.
Helping you sell fast and for the best price is what we are committed to helping you do. Give us a call today and take advantage of our free, no-obligation consultation with our experienced business brokers.