Sell Your Business
If You’re Thinking of Selling Your Business, You No Doubt Have a Million Questions.
To guide you in the sale of your business, VR has developed a 20-step process to a successful sale. To download my complimentary eBook, 20-Steps to Selling Your Business, please click here.
As VR Business Sales, there’s probably nothing we haven’t heard before, from “Is now a good time to sell?” to “What is my business worth?” Having sold over 100,000 businesses, we can provide expert advice founded in deep experience.
Are you ready to find out what your business is worth in the Charlotte, NC market?
VR Business Sales helps you continue to operate your business as normal, while we look for a qualified buyer. A qualified buyer will want to see a thriving and well-operated business if they are making a substantial financial investment.
Here are our Top 6 strategies to keep you on track to when selling your business
1. Pricing the Business at the Fair Market Value
Although many sellers would like to see their business’s worth based on the time, effort and finances they have spent, you don’t want to go in and place price significantly above fair market value on a business. You must be to able to understand what buyers are looking for so that you can come to a win/win arrangement. If the price you’re looking for is significantly higher than what the fair market value is, chances are you will have a difficult time finding a buyer who’s willing to write a check.
2. Maintain Confidentiality
Any type of disclosure outside of the two parties involved can detonate the deal. It’s critical that all precautions are taken as to not disturb the running of the business operation. Employees can and will run if they feel they’re not working at a stable company. Therefore, make sure all correspondence stays away from the business. An experienced broker will maintain constant contact with both you and the buyer to make sure all questions are being answered and no breaches in confidentiality are made.
3. Never Sell Impulsively
It’s normal for a business owner to burn out and decide at the drop of a hat to find a buyer to take over the business immediately. However, do not make a rash decision. An experienced broker will sit with you to make sure you plan ahead both carefully and accordingly. An accelerated business sale can result in leaving a lot of money on the table.
4. Anticipate the Buyer’s Requests
A buyer may to want appraisals of the property of the business, the machinery and equipment, inventory, and other assets. Due diligence and investigation takes time on the buyer’s end, so it is important to have your ends covered before the business goes to market.
5. Focus on the Structure of the Deal
Anyone selling a business in Charlotte will want all cash at closing, but that seldom happens without some sort of seller financing involved. In many business sales, the deal structure is more important than the price; therefore, make sure you are able to understand in advance what needs to be done.
6. Be Flexible on the Terms
You are not going to win every point of contention. It’s important to compromise when you need to, and save your battles for the most important issues in the deal. If you try to win every battle that arises, the buyer may walk away. You don’t want to come off as being inflexible. An experienced broker helps you understand in which areas you should show some willingness to step back and accept the buyer’s point.
The Selling Process
Valued Advice: If you are thinking of selling a business in Charlotte, NC, you probably have lots of questions. Questions like, “What is my business worth?” or “Should I sell my business now?” or “How long will the process take?” or “How will you help me find a buyer?” Having sold over 100,000 businesses, we help provide expert advice founded in deep experience.
Understanding You and Your Business: We take the time to learn about you, your business and your unique position in the market. We will work with you to gain knowledge and insights into your business, taking into consideration other key factors such as health issues, life events, and any family circumstances that together impact your decision to sell your business.
Business Valuation: We can provide a professional estimate of the fair market value of your business, whether you need an informal estimate to satisfy your curiosity or an appraisal for legal, accounting purposes or partner dissolution. We will work with you to review your financials to determine the value of your business. We know what businesses like yours in the Charlotte area are selling for and how to price it properly to sell.
Positioning: The right asking price is obviously critical, but so are other terms, such as down payment, financing, non-compete agreements and training. We will determine with you the most effective offering package to get you the best price for your business, which may include some element of seller financing. Our experience in deal structure often makes the difference in a successful transaction.
Advertising and Marketing: We will get you exposure you can’t possibly get on your own, or from any other firm. We use our nationwide of offices and buyers, all the leading Internet sites, newspapers, industry multiple listing services and other proprietary techniques. Additionally we use our growing database of buyers to identify the right buyers who are qualified to purchase and run your business.
Buyer Screening and Qualification: We screen through the “lookers” and “tire kickers.” We qualify the most likely potential buyers for your business. We obtain signed non-disclosure agreements (NDA’s). The NDA protects you from a potential buyer learning about your business, deciding not to buy your business, and then going into business in competition with you. It is our job to financially qualify buyers on your behalf and work with only those people who can afford the opportunity so we are not wasting anybody’s time.
Introduction and Follow-up: We introduce your business to qualified potential buyers and work with them until they make an offer to purchase. The decision to buy a business is an emotional and difficult one. We know how to assist buyers to help them overcome any issues or concerns.
Negotiation: We work with the prospective buyer to structure an offer for your business that we believe will meet your requirements. We help to ensure you receive the full market value for your business.
Offer Through Closing: Once we have an acceptable offer in hand, we work with you and with your buyer to prepare an agreement to purchase your business that will include a deposit made by the buyer (held in escrow during the due diligence period) We work with you and your advisors (attorney, accountant, landlord, etc.) and vigorously represent you all the way through the closing of escrow. During the due diligence period, we stay closely in touch with you and with your buyer to keep the selling process moving to the closing table, at which time you will see your business exchange hands to its new owners and you will enjoy the gratification of getting paid for your years of dedication and hard work.