Get Ready to Sell Your Business: Steps to Maximize Selling Price
Thinking about selling your business? Selling a company is a tough decision that requires much consideration. But, if you’re keen on selling, there are steps you can take now to maximize profits and minimize liabilities.
Following these tips will put you in a better position for a successful and profitable transaction!
Get a business valuation.
A business valuation can help you determine the fair market value of your business, which is vital information when you’re thinking of selling. It gives you an idea of what potential buyers might be willing to pay for it. What’s more, a valuation can provide you with insight into areas that need improvement—making changes before the sale can help you increase the value of your business and make it more attractive to potential buyers.
Get your financials ready.
This means having up-to-date records of your income and expenses, as well as any outstanding debts. Potential buyers will want to see these numbers to get an idea of your business’s financial health. Not only will having your books in order make the process of selling go smoother, but it will also give potential buyers confidence that they’re getting a well-run operation.
Take a close look at your team.
It’s important to have a management succession plan before selling your business. Do you have the right people in place to continue running the company after you’re gone? If not, now is the time to make some changes. A well- thought-out succession plan will give the buyer confidence that the business will continue to run smoothly after you leave. It will also ensure that your employees are taken care of and that the company is in good hands.
Have a clear vision of your post-sale life.
Having a plan for your post-sale life will help you stay focused during the sale process. It can be easy to get caught up in the excitement of a sale and lose sight of your goals, but if you know what you’re going to do after the fact, it’ll be easier to stay on track. And it allows you to negotiate from a position of strength.
If you’re considering selling your business, don’t go it alone. As a CPA and a CVA (Certified Valuation Analyst), I can help you realize the most profitable sale. Let’s connect.