It’s a new year with fresh challenges and opportunities, so you might be thinking about selling your business. People sell their businesses for all sorts of reasons – sometimes it might be forced on them due to poor health, or maybe it’s just a gut feeling. Your first step in selling is to understand WHY you are selling and knowing that you’re making the right decision.
IT JUST ISN’T PROFITABLE ENOUGH
Okay, so we’ll deal with the elephant in the room first! If you’re selling because the business isn’t doing well, you need to understand why it isn’t doing well, as this will affect the sale.
Is the business failing because there is no market for the product or service, or is it failing to thrive because you have lost interest / don’t have the right staff / don’t have the time required to make it work?
If it’s the first reason, how will you make that business attractive to a buyer, and will you be realistic about the asking price? If it’s the second set of reasons, the business can be marketed as such and potential buyers will see it as something they can fix.
THE BUSINESS IS GROWING AND I’M TOO OLD / BURNT OUT TO TAKE IT TO THE NEXT STAGE
This is almost the opposite of the first reason! You’ve created a very successful business and now it’s running away with you. You are right to sell in these circumstances. If you stay you will start to hate what you do and the business will probably reflect this by going down in value.
Sell now while you have great finances to show prospective buyers. They will be caught up in the excitement of buying a thriving business and your sale will go smoothly.
I DON’T LIKE THE WAY MY INDUSTRY IS CHANGING
This is a very valid reason for selling. Industry is forever changing and evolving and with that comes the need to constantly update and innovate. There are also many more rules and regulations these days. If you feel this way it’s better to sell and perhaps try something new.
I DON’T PARTICULARLY WANT TO SELL BUT I’M EXHAUSTED
Burn-out is a major reason for people choosing to sell their business. What is it that is exhausting you? Are you working huge hours? Don’t have enough staff? Business has grown? Or is there other stuff going on in your life – marriage, baby, divorce, illness.
Do you still love the idea of your business? Would you keep it if you could work less hours? If so, can you afford to take on a manager / more staff? If the answer to these questions is yes, then perhaps you’re not ready to sell.
If the answer is no, however, take action now before you completely burn-out. Maybe you need a break, or a new direction. Perhaps having your own business isn’t the right choice?
I’M BORED AND NEED A NEW CHALLENGE
Another very valid reason to sell! For some, it’s the thrill of the chase that gets them up in the morning! The challenge of establishing and growing something and making it a success. Now it’s sailing along smoothly and you’re bored.
It’s probably time for a new challenge, maybe another fledgling business that demands your skills.
All of the above ‘sales’ can be handled by Coast to Coast Media, an independent, long established and Australian-owned company that has no affiliations with any real estate agency.
Very often brokers are only interested in the easy sales, the ones that generate them a very large commission for very little work. But the above ‘sales’ are not easy, straightforward sales. They require different approaches, different expertise and, above all, understanding and empathy.Coast to Coast Media DOES NOT take a commission. They will work tirelessly on your behalf, using many different tools, to help you sell your business and then keep all the proceeds, ready for your next exciting project!