Working Together Powers Seller Success
At Evolution Advisors, we work with sellers to find out what sets their business apart – and how we can market the business telling their story to as many buyers as possible.
Consider these recent success stories:
After completing the valuation process with one automotive business, they were approached by a large regional outside buyer and opted to work directly with them. Eight months later the seller called to say they’d essentially been strung along and were stuck. We were able to create a very effective marketing package that attracted multiple buyers with an accepted offer within 30 days and closed 3 months later. (Remember: limiting yourself to a single buyer reduces your leverage as a seller.)
We met with a rather frustrated seller of a manufacturing company that, having worked with two previous brokers, wasn’t very optimistic about selling. The business had developed a highly systematized process – but for an extremely specific manufacturing niche. When we determined their process could be applied to multiple industries, we marketed that value and found a buyer interested in expanding the business in a completely different niche.
One wholesale distribution business we worked with owned the 36,000-square-foot facility they operated out of, not paying themselves market rent, just the mortgage rate. Because any buyer would have to pay them rent at the going rate however, cash flow valuations didn’t support a workable selling price. We suggested they try operating using less space. They would need to reorganize, lease half their facility… with half the rent factor added back in, profitability improved enough for us to get the business sold.
Evolution has provided an extra set of eyes in so many different transactions, we can often spot opportunities a seller immersed in their business might miss. In our experience, working together to tell the story of a business is a far more successful approach to selling your business than working alone.