LEGAL GUIDANCE THE WAY YOU WANT IT
Sell your business with the following steps
No one ever said that selling your business would be easy. You might need the assistance of a lawyer, an accountant, a business appraiser and a business broker before you can complete the process.
You’ll also want to have a game plan. That’s why we’d like to share the following four first steps to selling your business. With diligence, discipline and the right attitude, the following steps will improve your chances of successfully selling your company:
Figure out why you’re selling your business
Potential buyers of your business will want to know why you’ve decided to put it up for sale. Most buyers will be suspicious that your business isn’t profitable or that it involves too much work to be profitable. You’ll have a better chance of liquidating your company if you’re doing it because of retirement, illness or death, boredom, disagreements between partners, or other reasons.
Is there a good time to sell your business?
Get ready to sell your business about one or two years before the actual sale. Having extra time to get ready will help you get your finances in order and make other improvements to the business and customer base that could make it more attractive to buyers.
How much is your business worth?
A business appraiser can be very helpful to ensure that you’re not asking too little or too much for the company. A detailed and documented appraisal will assist you in describing why you want to sell your business for a certain price.
Get your documents ready
Before you sell your business, you’ll need to gather your financial statements, your tax returns and other information. You’ll also want to create a list of machinery and/or other equipment that has value and will be included in the sale. Create a special business sales packet, and make copies of it, so you can give the information to buyers who financially qualify to buy your company.
Learn as much as you can about selling your business
Business owners who research the market and want to part with their businesses should learn everything they can about current market conditions and the legal processes involved with selling a business. By learning good business sales strategies — and proper legal processes — business sellers will have a better chance of success.