E-commerce sales are expected to account for 22% of all transactions by 2023, which means now could be the time to step down from your small business. However, selling an online company presents a different set of challenges than your typical brick-and-mortar organization. While you get to skip certain stages, like transferring real estate and facility repairs, you inherit other digitized tasks that might not have existed or been a real concern before. Whether you’re interested in a new business opportunity or hoping to retire, you should begin preparing for your sale as early as possible. Read on as we offer our best advice on how to sell an online business in Charlotte, NC.
BUILT TO SELL: 5 TIPS TO SELL AN ONLINE BUSINESS IN CHARLOTTE, NC
If you want to market your online business for sale, you’ll need to plan tactfully. Before transitioning your Charlotte small business to a new owner, be sure to consider these five items.
1. CLEAN UP YOUR WORKSPACE
Even though you don’t have a physical workspace, you’ll still need to tidy up! Your website needs to be clean and uncluttered, front and back. If you’re working with an outdated or complex template, consider updating it to one that’s more versatile and easy to work with. The next buyer should be able to customize the back-end and execute their ideas with minimal difficulty.
2. EVALUATE INVENTORY
In some industries, it may not make sense to continue ordering more inventory once the sales process begins. Certain products may be too challenging to transfer as you move through the transition period. If that is the case, you should update your website accordingly and hide the product page.
3. SHOW ESTABLISHED CUSTOMER BASE
Online businesses rely almost entirely on internet traffic. A prospective buyer will want to see how you’ve grown your customer base and whether it’s a scalable plan. You’ve likely opted into a mix of digital marketing efforts, such as paid advertising and SEO. Be prepared to present your growth strategies for qualified buyers.
4. RECEIVE A PROFESSIONAL VALUATION
You need to seek a professional valuation before landing on an asking price for your online business. A Broker’s Opinion of Value (BOV) can be of great assistance, as it offers a more in-depth understanding of current market trends. By analyzing seller discretionary earnings, risk, industry conditions, and terms of the sale, a business broker can attribute a fair asking price to your business.
As with all North Carolina businesses, you’ll need to prepare your financial documents, including your balance sheet and cash flow statement. A new business owner/operator will want to see how you’ve arrived at your asking price, and your financial statements are the most logical way to do so.
An increasing amount of residents across Charlotte, North Carolina are gravitating towards business opportunities that allow them to work from home. Online entities tend to be popular businesses nowadays because of their low-cost operational fees. Plus, they usually require fewer full-time staff members and a less extensive line of services.
If you’re ready to pass the torch to this interested pool of buyers, be sure to partner with VR Business Brokers for expert consultation! Contact our office today to see how we can help you sell your Charlotte NC business.