How to Prepare If I Want to Sell My Business
Do not close the shop doors because you have other interests or want to explore new opportunities. You can sell the store if you prepare in advance. We briefly answer questions, such as “what do I need to sell my business?” and more to help you get started.
So, What Do I Need to Sell My Business?
Though not a prerequisite, up-to-date financial records will help to justify the price and give the potential buyer peace of mind about the potential of the entity. If you have not kept record of income and expenditure, assets, debtor books, and cash-flow management to date, start now. Even if you only have a few months of records, it can help with getting a fair assessment and price.
The second thing is a list of suppliers. The buyer does not know who to contact in order to place orders. You will not give the information out until the purchase offer has been tabled, but being able to list it as one of the items that the buyer will get will add value.
A list of marketing outlets, such as a website, social media, newspaper ads, signage, and more is essential. If you have a website, you already have an asset, which adds value to the business.
List your loyal clients, and if you have a loyalty or rewards plan in place, also mention it as one of the positives.
Get The Following Information Ready:
· Lease agreement and contact details of the landlord
· Asset list
· List of fixtures
· List of products that you sell and a full inventory
· Tax clearance certificate if possible
· Service agreements, such as printer support
· List of employees
· Licenses in place
· Profit margins
· Gross annual profit
· Net annual profit
What Reason Should I List If I Want to Sell My Business?
Be truthful. If you have to attend to family matters, then state it. If you sell because you want to emigrate or relocate, also state it. Most people do not start a company with the idea that it will be the only one they will own and run for the rest of their lives. Indeed, the day the doors open, you should already have an exit strategy in place.
How Can a Broker Help to Sell My Business?
For one, the broker has the expertise to evaluate the business and use the correct formula to determine the right selling price. The broker is connected to a large network of brokers, and can thus introduce your business to several interested parties in a short period of time. In addition, the broker has access to credible online facilities and the broker website where the business can be advertised. The sale agreement is provided and the broker screens potential buyers and thus eliminates time wasting. With the broker marketing the retail opportunity, you can focus on core activities rather than having to deal with countless enquiries from browsers.
What is The Next Step if I Want to Sell My Business?
Get in touch with our brokers to help you set the right price and start marketing your business for sale.