17 Mar 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 Forbes entitled “The 4 Most Important Factors To Consider When Choosing A Business Broker” discusses the value in selecting the right business broker to sell your business. You might think cost is the primary factor, however choosing the wrong broker can cost you more in the end.
The business broker you choose should possess the following:
- Extensive experience in the industry and a deep understanding of the market
- Clear and efficient process that demonstrates organization and preparation
- Commitment to the sale with an investment of time and resources into finding the right buyer
- High level of support and guidance throughout the entire process
Click here to read the full article.
A recent article from Exit Strategies Group entitled “How to Divest Part of a Company” discusses the process of selling a division or line of business, as opposed to the entire business. This may be done to generate liquidity or strengthen and focus on core business operations.
It is important that the portion of the company that you wish to sell is not entangled with the rest of the business. This means clear financials, assets, liabilities and operations specific to the portion that is to be sold. Buyers will want a very clear picture of what it is they are buying.
It is wise to utilize an M&A advisor to help develop a strategy, prepare for the sale, and manage the entire sale process.
Click here to read the full article.
A recent article from JD Supra entitled “When It Comes to Selling Your Business: What You Don’t Know Can Cost You (A Lot!)” offers insights to business owners who are contemplating a sale of their business. Knowledge and preparation is critical to a successful sale.
Selling a business is a process, not an event. This process can take six to eight months, or longer. Properly preparing the business for sale can increase the chances of getting interested, quality buyers. These buyers will be looking for future growth opportunities.
It is wise for the owner to make their involvement less important to the success of the business. This means giving key employees responsibilities in operating the business so it can continue to run under new ownership. The owner should also focus on engaging with multiple viable buyers and have every critical aspect of the business documented for buyer review.
The sale process is also a team effort. This means enlisting the help of an experienced M&A professional. It may also mean involving trusted employees when the time is right.
