While they are exciting, commercial business sales Rancho Santa Fe are not as straightforward as you may think. There are many things you have to do before you get to the closing table. The purpose of this post is to give you an overview of the key things you have do to achieve a successful sale.
Be sure you are ready to sell
Having built a business from the ground up, it is easy to feel like you are selling a part of yourself. This is what causes many sellers to pull out at the worst possible time. To avoid wasting time, you need to make sure you are selling your business for the right reasons. What do you want to get out of the sale? Are you truly ready to sell? Are you ready for the next step? Being certain you are ready to sell is the first step in commercial business sales Rancho Santa Fe.
Work with an experienced business broker
The next step is getting the right help. The issue with selling on your own is you will make mistakes and end up being overwhelmed. Selling on your own means gathering all the documents that will be required, pricing your business correctly, posting blind ads, managing enquiries of interested buyers, and arranging for the final sales paperwork. You have to do all this while focusing on the core operations of your business.
Working with a business broker in San Diego takes this burden off your shoulders. The broker will be your representative and help you get the best price for your business. It is also the job of the broker to manage your expectations, maintain confidentiality and prescreen buyers. The broker will further coordinate all the other professionals you will need during the sale. You have a better chance of selling faster and for the best price when working with a business broker.
Get your business ready for sale
You cannot sell your business as it is. To increase chances of selling at maximum profit, you have to get your business ready for the target buyer. You will have to compile the following:
- Financial records for at least the last 3 years
- Commercial information which includes supplier accounts, registration papers, insurance details and a list of assets.
- Operation documents including your business history, stock inventory lists, marketing materials, procedures and process documents
- Legal details including customer and staff contracts, leases and health and safety guidelines.
- Forecasting documents that show intellectual property and revenue growth.
Get an accurate valuation
Getting a business valuation is crucial in commercial business sales Rancho Santa Fe. The valuation will help you know how much your business is really worth. It will also help you price your business correctly.
There are many more stages involved in a commercial business sale. The aforementioned steps will help you get started on the right path.