Mon. May 23rd, 2022

There comes a time where most business owners will find themselves asking “what shall I do with my business?”

Like most business owners, you have put everything into your business to get it where it is today and it is a big part of your life you are parting with; there can be a lot of emotion tied up in the process but it is important to work out what you really want and follow a realistic path to get there.

A well thought through and planned formula for selling a business will ensure you achieve a great result for you and the future ongoing success of the business.

Deciding who to sell to as part of your formula for selling a business –

Many small business owners are very concerned with who they sell to and who is going to look after their ‘baby’ (business) if and when they go. Some common questions include:

• Should I sell directly to my staff?
• To the competition up the road?
• Perhaps to a much larger business?
• Should my children have first option?
• Should I stay on and play a role in the business’ future after it sells or pursue other interests?

As a business owner you have a range of options that you need to carefully consider to make sure you really maximize on your business sale and lets face it many of you will fund your retirement with the proceeds of the business sale, so its critical for business owners to have a well thought out formula for selling a business regardless of selling your business now or in the future it just makes good business sense and gives you peace of mind.

Customizing your own formula for selling a business – What do you really want and how will you get there?

Coming to grips with the simple fact that leaving your business is going to eventually happen for one reason or another is difficult, especially when you have invested so much time and energy. Try and put your emotions to one side for a moment; sit down and really think hard about what you truly want from selling your business.

What is your desired outcome?
What will you do with the proceeds?
What about tax?
What will you do with your time?

We all know that it is preferred to be deciding when, where and how to sell rather than having to deal with selling should something unexpected arise, however, in reality it is just as important to ensure you include the unforeseen.

Formula for selling a business – Planning

Having a good plan outlined and Great way for Selling a business ready for selling your business is vital. Strategy comes into play here also and I recommend speaking with a few other business owners who have decided to sell or have been forced to sell in the past. Most business people are happy to share their experiences and recommendations. Obviously, this is just one source for information in the planning process.

Educating yourself and understand the process is highly recommended and with this comes a few serious questions to consider such as:

• What can I do to ensure my business is operating at its best with little time?
• What are the best strategies to market my business?
• When should I get my lawyer and accountant involved?
• How do I sell my business myself – without a business broker? Do I need a broker?
• How do I establish the correct value of my business?

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