Seller Tips . . .
||When you started
your business, you probably weren't thinking ahead to the
day you would sell it. But after years of hard work spent
building your enterprise into a success, that time has come.
You'd like to cash out and move on to the next phase of your
Creating a good first impression:
Prospective buyers may look at
dozens of businesses before making a decision, so you'll want to
make your business stand out from the crowd by making a good first
impression. If the business looks professional and prosperous,
it probably is.
Start by taking a fresh look at
your business inside and out. Pretend you are a prospective
buyer taking a tour and make a note of anything and everything you
don't like. Do you look forward to coming to work in the
Clean up, freshen up, wash up,
spiff up, paint, remove debris & clutter, update, etc. Do a
little each day starting with the least desirable.
A small investment in time and
money to improve the overall appearance of the business can mean a
substantial increase in the selling price.
your supporting documentation:
Businesses aren't sold
very often any more on just a handshake, the prospective
buyers are going to want to see documentation to support
your asking price.
At the very least you are going
to need a complete itemized list of all of the tangible assets of
the business such as the furnishings, fixtures, equipment, etc.
A prospective buyer will want
to see copies of all leases and any other agreements and contracts,
etc. that are currently in effect.
Figure on having to recast your
financials, so that they reflect the actual cash flow in support of
the goodwill value of the business.
You will want to show prospective
buyers the business in the most positive and accurate light possible
in order to realize the best price
Use a broker:
A good business broker can help
you determine a realistic price for your business. He or she
also can identify and qualify appropriate buyers, put together a
sales prospectus, handle the marketing, negotiate terms of a sale,
help with financing and maintain your business confidentiality so
that only prospective qualified purchasers know your business is on
You'll probably also want to
work with your tax pro, attorney and other experts to make sure that
all aspects of a sale are handled properly.
Anthony & Associates