As you get ready to sell Internet business you have to be ready for life after the sale. What will you do next? Do you wish to stick around or move on to something else? This is the first seething question you will have to deal with. The good news is that our team at So-Cal Business Brokers can help with this. We will ensure that your reason for selling is a sound one and then make sure that you understand the facts about selling. The best thing is that we will be with you every step of the way.
If you decide to stick around after the sale there are two important factors you will have to consider. The first is the fact that your business will be in the hands of someone else and there is nothing you can do about it. The new owner will be calling the shots. This can be a hard adjustment. If you feel it will be hard seeing your business being managed by someone else, sticking around is not the best decision. Your business will change. However, if you are still pro sticking around after you sell Internet business, you will have two contracts to debate: employment contract or consulting contract.
The new owner may agree that you remain onboard on an employment contract. This means you will become an employee that works under the new owner. This can be a hard adjustment. You will no longer have the free reign you were accustomed to and you will have to take and follow orders.
In our experience, the employee contract is only great as a short-term solution. It will be a difficult commitment to make long-term. The best benefit to the employment contract is the compensation. Although you will get a salary that is specific to your contract you will be able to leverage a higher priced deal as you sell Internet business. Our team can help negotiate better terms with the new owner where possible.
This is your second option. With this contract you get to serve as a consultant to the owner. The contract will stipulate the number of hours you will be consulting per month and the associated fees. Contracting agreements are mostly considered when the buyer doesn’t have familiar relation to the seller. Instead of working under the buyer you will be summoned when needed.
When you come to us we will make sure you understand these and more contracts and ensure you are getting the best terms. Contact us now if you are getting ready to sell Internet business. We offer a free consultation.