Avoid the Biggest Deal Killer – Time
When Selling a Business, Time is Not Your Friend.
When working with business owners who want to sell their business, they often fail to grasp the important of momentum in getting a deal completed. I know they have lots to do each day just running their business. I ran a $4 million printing company for 22 years, so I know first-hand all the things that business owners need to do every day. But once a business owner decides to sell his business, he must understand the importance of addressing buyer issues quickly, before the lack of progress kills the deal.
Here’s an article, “Avoiding the Biggest Deal Killer – Time” by Rose Stabler, which really articulates this situation very well:
When selling a business, time is not your friend. Time is the enemy of all deals. In fact, “Time kills all deals” is an expression that can be associated with a number of different industries, but is especially relevant to business acquisitions…
So, to generate deal momentum, a business owner should be ready for the trip to the marketplace before the train leaves the station. This means organize your documentation and vet potential roadblocks that can derail or delay reaching the done-deal destination.
Don’t let time work against you. Ready up with these 14 karats of knowledge so when the sale train does leave the station, it will have the momentum necessary to reach a timely closing:
1. Know when it is a good time to sell YOUR business.
2. Know why you want to sell.
3. Know the company’s best features and its blemishes.
4. Know what you will do after your business is sold.
5. Know the value of your business.
6. Know that your asking price is based on reality.
7. Know that you are current on all taxes.
8. Know that operational details are not just in your head.
9. Know that your business can operate without you.
10. Know who you are, who you are like, and who your competition is.
11. Know your numbers.
12. Know that your team is ready.
13. Know that you can provide the roadmap to even greener pastures.
14. Know what’s most important to you in the grand bargain.
To read the entire article, click: Avoiding the Biggest Deal Killer – Time.
The Summit Acquisitions Group — Business Brokers and M&A Advisors — specializes in the sale, appraisal, and financing of privately owned companies ranging in valuation from $750,000 to $25,000,000. Contact their offices in Atlanta, GA or Charlotte, NC for a free consultation.