| Almost all businesses are for sale to some | | | | different values. |
| degree. Lets say yours is not For Sale. Assume | | | | - - Ultimately the price of your business is what a |
| Your business is worth $100,000. You love what | | | | willing and able buyer is prepared to pay to buy |
| you are doing, someone contacts you with an | | | | your business. |
| offer to buy your business for $500,000. Is your | | | | - - Seek "reasonableness" to your price that you |
| business now For Sale? The preceding is not a | | | | will seek to sell your business for. If similar |
| likely scenario for most business owners. To | | | | businesses to yours are sold at 1 1/2 times |
| successfully sell your business planning and | | | | adjusted cash flow, why is yours worth 3 times |
| preparation is needed. But if you are now or at | | | | adjusted cash flow? - Ask yourself what you |
| some point considering the sale of it you may | | | | honestly would pay to buy your business |
| want to consider the following 3 points: | | | | - - Do a free Search on my website or other |
| 1. Identify your honest interest level when selling | | | | similar websites to find out what similar businesses |
| your business. Early in the decision process of | | | | to yours is asking to sell their business for. |
| selling your business consider what approach you | | | | Remember - all businesses are different, but use |
| may take towards selling it. As a Business Broker | | | | such a search as part of your due diligence. A |
| in Florida I interact with the various interest levels | | | | business for sale asking price and the price a |
| by small business owners. | | | | business sold for can be greatly different, but |
| - - My business is not for sale but if someone | | | | asking prices can provide some basis-while current |
| walks in and offers me way more than what I | | | | Businesses Sold information is more pertinent |
| think it is worth- I would sell it | | | | - - Speak to your trusted advisers. A business |
| - - My business is not for sale but if you run | | | | broker may be able to help with non-public info on |
| across someone that would want to buy it please | | | | sold businesses in your area. Your accountant or |
| let me know. - I want to pursue selling my | | | | attorney also may or may not be aware of such |
| business but I won't sell it for less than...( A | | | | sales as well. A Professional Business Valuation |
| somewhat inflated price). I am willing to accept | | | | specialist may benefit you. |
| that it may take 1-2 years to sell my business, | | | | 3. Whether it is part of your exit strategy to sell |
| and if priced too high I can accept the fact that | | | | your business or not, you should have an exit |
| my business may not even be sold. | | | | strategy. |
| - - I want to pursue selling my business and after | | | | - - Most small business owners do not have an |
| significant due diligence I feel the price I am | | | | exit strategy. |
| seeking is consistent to what other like businesses | | | | - - If you own a business you should have an exit |
| have recently sold for. | | | | strategy. Do some planning, perform some due |
| - - I want to sell my business and I want out | | | | diligence. Know what you have or may have. |
| now. I will set my price aggressively and set a | | | | - - Even if you are not planning to sell your |
| lower price than price currently sought for | | | | business there is value in knowing approximate |
| businesses similar to mine. I will expect this | | | | value of this potentially large asset. You know |
| aggressive pricing to both help me sell my | | | | what your house is worth, you car, your other |
| business and decrease the amount of time it will | | | | assets. Understanding the value of your business |
| take to sell my business. | | | | can be a significant piece of information when |
| If you do have a true interest in selling your | | | | planning ahead. |
| business as suggested in above last 2 points you | | | | Selling ones business can be a rewarding |
| do need to exercise due diligence to gain | | | | experience when done properly. Understanding a |
| understanding of what the value of your business | | | | proper value for your business can set the stage |
| may be. | | | | to a successful sale of your business or a |
| 2. You can expect that the perceived value of | | | | business that is unable to find a willing and able |
| your business to you and the value of the | | | | buyer. |
| business to a potential buyer will probably be 2 | | | | |