Selling your business… when it’s TOO LATE
Recently I had a conversation with an owner of a Machine Shop who was clearly “exhausted, done, and going to retire.” He stated as soon as his new boat arrives in 2 months “My wife and I are out-a here.” The problem… there was no exit strategy other than the possibility of passing down the commercial building he owns to his two daughters.
After a short discussion here’s the story: revenues had been on a slide the last couple years, employees had not been replaced when happily retiring from the business, and as calls came in from repeat customers the words “no we can’t commit to your project” became common place. All this combined with only a couple months to find a buyer I had to share with the owner it was too late and there really wasn’t much to sell other than the real estate. He admitted “Yep, I should have planned a year or so ago for retirement and I would have had a better outcome.”
Having a well thought out Exit Strategy Plan including truly understanding the value of your business well in advance pays dividends when you are ready to sell your business and move on to the next chapter in your life.
Simply put the BEST time to sell your business is by Capitalizing on the Business Life Cycle while your business is at its peak or close to it with many business performance graphs with lines moving “up and to the right.”
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If you’re interested in learning about your selling options, getting a professional business valuation, or getting help creating an exit strategy, please feel free to CALL Evolution Advisors at 916.993.5433 or visit our website: www.EvoBizSales.com