24 Nov Around the Web: A Week in Summary
The following information has been sourced by Business Brokerage Press for the benefit of the business brokerage community. The views of these articles do not necessarily represent the views of Business Brokerage Press. We hope you find this information helpful.
A recent article from Entrepreneur entitled “How to Expertly Position Your Business for an Exit” discusses ways to prepare for an eventual business sale. Proper planning can help maximize the value of the deal, which is critical for most owners.
Consider the following tips:
- Define your value proposition through a detailed ratio analysis and a SWOT analysis
- Iron out the critical details of your exit strategy
- Focus on buyers whom the business complements
- Communicate to key stakeholders
- Craft a plan for how the business will adapt to industry changes
Click here to read the full article.
A recent article from Portland Business Journal entitled “Tips for getting ready to sell your business” explores key areas related to the sale of a business. It is important to start planning well in advance of the sale.
From an organizational standpoint, it is important to identify what type of entity your business is and assess if that should change based on your long-term goals. It is also important to keep proper financial records and corporate meeting minutes.
When it comes to the transition of the business, it is wise to start with a trusted deal team (CPA, attorney, business broker, financial planner, etc.). Having a strong leadership team in place will help with the transition of the business. It is also important to plan for the unexpected – an early transition.
Click here to read the full article.
A recent article from Forbes entitled “Emotions Matter When Selling Your Company” takes an honest look at how emotions come into play when selling your business. This is a big moment for you and your company, so it is expected to experience some emotions. The important thing is effectively managing these emotions.
As a seller, you may experience worry for things like how employees will handle the transition and how customers will be cared for by the new owner. There could be painful moments such as the due diligence process. There could be some heartache if a deal falls through. But there can also be great happiness with a successful deal.
Being proactive to address these potential sources of emotion is a prudent move. Consider non-compete agreements with key employees. Identify your likely buyer and what their needs and perspective might be. Assemble a team of trusted advisors that you can rely on. And don’t let your ego cloud your judgement.
